City of Cape Town
FIVE YEAR PLAN
2007 - 2012
DRAFT REVIEW 2010 – 11
For public comment
10/11
0
CONTENTS
Page
2
Message from the Executive Mayor
Page
6
Introduction by the City Manager
Page
8
Glossary of Terms
Page
9
Introduction
Page
35
Strategic focus area 1: Shared economic growth and development
Page
51
Strategic focus area 2: Sustainable urban infrastructure and services
Page
66
Strategic focus area 3: Energy for a sustainable city
Page
74
Strategic focus area 4: Public transport systems
Page
82
Strategic focus area 5: Integrated human settlements
Page
101
Strategic focus area 6: Safety and security
Page
111
Strategic focus area 7: Health, social and community development
Page
121
Strategic focus area 8: Good governance and regulatory reform
Page
135
Governance framework and functionality
Page
141
Medium-term revenue and expenditure framework (MTREF)
Page
152
Corporate scorecard 2007-2012
Page
153
Corporate scorecard indicator definitions for 2007-2012
Page
154
List of statutory plans annexed to the IDP
1
Mayor’s IDP foreword
The City of Cape Town‟s Integrated Development Plan (IDP) is a five year plan that has been guiding us on
how we spend our money since 2007 and will continue to do so until 2012. The exact details of how we will
raise money through rates and service charges, and where and when this money will be spent are worked out
in our Annual Budget and our Service Delivery and Budget Implementation Plans. These plans discuss the
timelines, the specific amounts and which specific projects or departments money will be spent on.
The ultimate goals of our five year plan are to create jobs, to expand and enhance our infrastructure and to
ensure that more Capetonians have access to basic services. While doing this it also essential that the City‟s
Administration is well managed and that all our staff are hardworking and accountable.
I know that issues of housing, crime and jobs are the highest priorities for most Capetonians, but these are not
the City‟s primary responsibilities.
The municipality‟s key responsibilities include the provision of basic services of electricity, water, sanitation and
refuse removal, the provision of primary health care at clinics to keep Capetonians healthy and finally to
enforce by-laws and manage disasters, roads, stormwater, sport and recreational facilities to make Cape Town
a safe, clean, well-maintained and pleasant place to live in.
In areas such as education, policing and housing, the City plays a supportive role to provincial and national
government. The City‟s goal is to promote infrastructure-led economic growth that will create jobs and draw
investments to Cape Town. We also have to ensure that the City‟s administration functions effectively and that
services are provided efficiently to all residents and visitors to the City.
The buzz about the 2010 World Cup can be heard in every corner of our City and its legacy will benefit those
who visit or live in our City for many decades to come. Because of this event, Cape Town has received a R12
billion investment boost which includes the construction of the new stadium in Green Point, airport and rail link
upgrades, road interchange upgrades and the roll-out of an Integrated Rapid Transit system. Preparations for
the 2010 FIFA World Cup (TM) in Cape Town in accordance with FIFA‟s requirements are well on their way
and will ensure that we present a world class event.
These investments will change the face of Cape Town for the better, and help us to promote further economic
growth and job creation ahead of 2020.
In the mean time, in order to implement our five year plan, the City is focussing on seven strategic focus areas,
as follows.
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Shared Economic Growth and Development
We want make sure that Cape Town maintains its status as a world class tourist destination not only for the
international market but for South Africans too.
We want to create more opportunities for small businesses in Cape Town, which will also help with the creation
of more jobs. In addition to this, we want to develop the skills of our citizens so as to encourage the
development of a wide range of productive areas in our local economy.
We are aware that red tape often makes engagements with the City difficult. We are committed to reducing this
red tape and to speeding up the development application processes.
Sustainable urban infrastructure and services
The City of Cape Town aim to provide access to basic services to all people in the city, and therefore we need
to invest in providing adequate resources and infrastructure to meet service delivery needs.
The City has to balance development with the conservation of natural areas to ensure the provision of a high
quality natural environment as a basis for social and economic development.
We will protect human health, and maintain clean accessible recreational environments such as beaches.
Energy efficiency for a sustainable future
We all know that electricity is a limited resource in South Africa, and we have to all work together to reduce
energy consumption in Cape Town. We as the City are committed to researching more efficient alternative fuel
and energy sources. We will also ensure sufficient energy is provided to the City and prepare our communities
for the impact of climate change on our city.
Public transport system
The mark of a great city is an effective public transport system. It is therefore the core basis of our growth and
development strategy. We aim to establish a single authority for transport in Cape Town to meet the needs of
citizens and visitors by putting public transport, people and quality of life first. We will also implement a rapid
transit system to enhance road-based public transport using dedicated public transport lanes and roads. The
aim is to reduce average peak period travel times along selected corridors.
We will also promote non-
motorised transport with a network of pedestrian and cyclist paths to link transport interchanges, bus and rail
stations and key access routes to schools and other areas.
Integrated human settlements
Over the last 20 years, Cape Town has experienced a rapid trend of urbanization that has resulted in its
population almost doubling to its current total of 3.5m. This is largely due to two factors, namely an annual 1%
growth in natural family formation and in-migration of approximately 50 000 people (18 000 households) per
3
annum from mainly the rural areas of the Eastern Cape who have identified Cape Town as their destination of
choice for job and economic opportunities.
This trend represents a major challenge for the City and is further exacerbated by the fact that almost 91 % are
poor households earning less than R6 400,00 per month and is thus dependent on the state for their housing
needs. The City is therefore committed to the formulation of a City-wide strategic urbanization plan that will
include drawing on the expertise of professionals within various departments and academics from both local
and international institutions of learning.
Furthermore, we aim to provide the range of housing opportunities in accordance with the Housing Directorates
5-year Integrated Housing Plan including a land banking initiative to secure land for future housing
developments
However, we have recognised that we cannot look at housing as an isolated issue and that we have to create
communities where people have access to the clean, quality public spaces and the services that allow
communities to flourish.
One of the ways in which we aim to achieve this vision is by improving existing public spaces in different parts
of the City. This will bring dignity to neglected public environments, and celebrate the natural and cultural
heritage of Cape Town and its people.
Safety and security
I know that crime is one of the key issues affecting citizens in our City. It also poses some potential risk to
successful and smooth hosting of the 2010 FIFA World Cup event. The City is committed to work closely with
the SAPS to ensure a safer Cape Town.
The City strives to secure a safe environment for the community. Our Department of Safety and Security have
embarked on a number of important programmes such as awareness around substance abuse, safer
community programmes as well as the establishment of neighbourhood development forums. A closed circuit
television network is also a key project of the City. The continuous development of the CCTV network will
ensure adequate coverage of key economic and transport locations as well as crime hotspots. In addition to
this, visible law enforcement is implemented as well as a focus on fast and efficient emergency responses.
Health, Social and community development
A healthy city made up of healthy individuals and communities is an essential ingredient of economic growth
and good governance. The City will therefore continue to invest in health, social and community development
by facilitating the delivery of health care at a local level so that the most marginalised communities can benefit
from these initiatives. The City will also provide and maintain community facilities as focal points for youth
development.
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I am committed to reducing the scourge of drug abuse in Cape Town. To deal with this the City has set up the
Substance Abuse Unit and we want to establish more substance abuse treatment centres.
Good Governance and regulatory reform
Effective corporate governance is a key requirement for successful municipal government. Good governance is
essentially about effective leadership, because leaders need to define strategy, provide direction and establish
the ethics and values that will influence and guide practices and behaviour.
The City of Cape Town strives to maintain a high level of integrity, efficiency and effectiveness in all its
administrative systems, processes, structures and delivery mechanisms. Over the past three years, the City
has consistently achieved these goals, receiving consecutive unqualified audits, maintaining a credit rating of
Aa2.za, and earning Cape Town the position of top City in South Africa in terms of service delivery and
improving both our customer and staff satisfaction ratings.
In the current constrained economic environment, and with an indication of potential shortfalls in revenue
collection, the City has taken a decision to re-phase certain projects over a longer period of time rather than
cutting existing budgets.
The existing municipal service delivery levels will be maintained. The City is reprioritizing the manner in which it
implements key projects and striving to do more with less. Austerity and prudent financial management will be
consistent themes in a new City management approach. This is based on a determination to protect ratepayers
from further increases.
Dan Plato
5
INTRODUCTION BY THE CITY MANAGER
The City of Cape Town‟s reputation as one of the leading metropolitan municipalities in South Africa was not
achieved accidentally, but is the result of the ongoing commitment by the City to realise its vision of making
Cape Town a well governed, efficiently run city with effective and equitable service delivery and that delivers
the benefits of shared growth and economic development to all its residents.
Integral to the achievement of this vision is the need for effective planning, and the City‟s Integrated
Development Plan is the primary outcome of such planning. The IDP is essentially a five-year strategic
blueprint that serves to guide local government and its key stakeholders such as residents, commerce and
industry in their endeavours to position the city not only as a preferred international tourist destination, but also
a highly attractive investment destination.
This 2010/11 Integrated Development Plan (IDP) represents the City of Cape Town‟s final review of its five
year plan covering the 2007/08 to 2011/12 financial years.
Thanks in large part to this five year IDP, the City now finds itself in a position where it can formalise its longerterm vision and develop a clear strategic direction for the next twenty to thirty years. To this end, the City is in
the process of developing its long-term City Development Strategy, which represents a 30-year view of the kind
of city in which all residents would like to live, and which they would be proud to leave as a legacy for future
generations. This 30-year plan will guide City planning, decision-making, budgets, and also the future Five
Year IDPs.
Apart from building on its position as a leading African tourist destination, the extensive amount of work that
has been done over the years, in the public and private sectors, has seen Cape Town become ideally
positioned as the events capital of Southern Africa. The city now also possesses the talent, qualities and
infrastructure required to be at the centre of knowledge and innovation in South Africa. The Services Sector, in
particular, remains a major contributor to the wealth and development of Cape Town and will continue to be
nurtured and developed as an important aspect of the local economy.
The overall thrust of the City, and its over-arching strategic focus, continues to be infrastructure-led economic
development. To this end the city established a Budget Committee to assist with the prioritisation of funds in
order to optimise the return on investment in public infrastructure. New resource and service demands for
future expansion have been responsibly planned and provided. In order to preserve Cape Town‟s natural
beauty and biodiversity, the City will retain a multi-pronged approach to the provision of housing solutions,
community spaces, services, public transport, economic development and safety and security, as outlined
contained in the City of Cape Town‟s draft Spatial Development Framework. While the City has only has the
constitutional mandate for some of these aspects of its ongoing development, the intention is to continue
cooperating closely with provincial and national government, and other agencies, to ensure ongoing efficiency
and effectiveness in the provision of services and the development of required infrastructure.
6
As a direct result of an immense amount of hard work by a great many people within the City of Cape Town,
the last three years have seen the credibility of the city‟s administration restored and the stability and efficiency
of the council‟s workforce vastly improved. During this period, the City also laid the foundation for further
economic growth and development as part of the continued investment in Cape Town‟s infrastructure. While it
required that a large portion of the City‟s available budget be redirected in the short -term, the extensive
expenditure on infrastructure - particularly linked to the preparations for the 2010 FIFA World Cup - will
undoubtedly serve to stimulate economic growth and development across the city for many years to come.
A number of specific focus areas within this IDP review bear emphasis. Governance is recognised as being
absolutely vital to administrative stability and a significant enabler of service delivery to residents. Despite
having achieved six consecutive unqualified annual reports, the City of Cape Town remains 100% committed
to keeping its own house in order and, therefore, fully subscribes to the principles of the King III Report. Open
and transparent processes are non-negotiable and a zero tolerance approach is taken to any irregularities in
the management of processes or finances.
Building on the major financial injection into the development of Cape Town‟s transport infrastructure, the City
will continue with the roll-out of its Integrated Rapid Transit system well beyond the period of the 2010 World
Cup. This will eventually see different, but interlinked modes of transport moving people across the metro,
thereby addressing congestion and reducing the impact of transport on the environment. This is an inclusive
approach involving all the transport role players and is not meant to exclude any service provider.
An integrated plan, involving several City line departments, has been put in place to upgrade some 230
informal settlements across Cape Town, and five pilot sites have been identified where the implementation of
this upgrade has as already begun. The City‟s Housing Allocation Policy has also been amended to make
special allowance for families currently housed in the backyards of other households to be allocated housing
opportunities. It is imperative that the City works closely with the communities concerned to ensure that they
take ownership of these upgrades so that their key socio-economic priorities can be addressed and progress is
not impeded through incidents of vandalism or theft.
Throughout the development of the Five Year Plan, the City has stressed the important role that partnerships
have to play in ensuring that the Cape Town is able to realise its potential to be one of the world‟s greatest
cities. To this end, the City continues to work closely with all stakeholders and partners across all levels of
government and the private sector. Already, partnerships such as the Cape Town Inner City Partnership and
the Cape Town International Convention Centre have produced very impressive results, and the City will
continue to build on all its partnerships, and identify new ones, in an effort to further stimulate the local
economy.
Achmat Ebrahim
City Manager
7
Glossary
BPR
BWP
CSS
CRM
ED
EDIR
EMT
ERP
GIS
ICT
ISIS
IT
MSA
ODT
OIM
OHS
OPMS
PABX
PDP
QM
SCM
SCOPA
SPELUM
VOIP
WMD
Business process re-engineering
Berg Water Project
Customer Satisfaction Survey
Customer Relations Management
Executive Director
Electricity Distribution Industry
Executive Management Team
Enterprise Resource Programme
Geographical information systems
Information and Communications Technology
Integrated Spatial Information System
Information Technology
Municipal Systems Act
Organisational Development & Transformation
Operations Integration Model
Occupational Health and Safety
Organisational Performance Management System
Private automatic branch exchange
Personal Development Plans
Quality Management
Supply Chain Management
Standing Committee on Public Accounts
Spatial Planning, Environment and Land Use,
Committee
Voice-over Internet Protocol
Water Management Device
Management
8
INTRODUCTION
SECTION 1
THE CITY OF CAPE TOWN’S FIVE-YEAR PLAN (IDP)
The City of Cape Town‟s Integrated Development Plan is its principal strategic planning instrument, which
guides and informs its ongoing planning, management and development actions. The IDP represents the City‟s
commitment to the exercise of its executive authority (except in cases where it is in conflict with national or
provincial legislation, in which case such legislation prevails) and is effectively the local government‟s blueprint
by which it strives to realise its vision for Cape Town over the short- medium- and long term.
But while the IDP represents the strategic intent of the City of Cape Town, it is also drawn up with the
understanding that a number of challenges will need to be overcome in order to achieve the strategic
objectives it sets out. Some of these challenges are known (and outlined later in this document) while others
are unknown and may arise at any time due to any number of national and international economic, political, or
social events.
On 1 July 2007, the City of Cape Town implemented a new five-year Integrated Development Plan (IDP) for
the period July 2007 to June 2012 to inform and guide the current elected public representatives‟ in their term
of office. This document is the fourth annual review of this IDP and outlines the intent of the City of Cape Town
in terms of the eight strategic focus areas, which it has agreed are required to overcome the challenges facing
the city, achieve its vision, and implement its other strategic considerations.
These eight strategic focus areas form the framework of the five-year IDP and function as internal strategic
levers to facilitate shared growth and development and enhance urban efficiency and institutional
effectiveness. The way in which the City‟s vision is supported by the eight strategic focus areas is shown in the
figure below:
VISIONARY GOALS:
a) A prosperous city
b) Effective and equitable service delivery
c) A well-governed and efficiently run administration
STRATEGIC FOCUS AREAS:
1. Shared economic growth and development
2. Sustainable urban infrastructure and services
3. Energy efficiency for a sustainable future
4. Public transport systems
5. Integrated human settlements
6. Safety and security
7. Health, social and community development
8. Good governance and regulatory reform
URBAN EFFICIENCY
INSTITUTIONAL
EFFECTIVENESS
9
City of Cape Town’s IDP Strategic Framework
A number of key objectives have been identified for each of the eight strategic focus areas. These objectives
form the foundation from which strategies and the allocation of the City‟s resources can be cascaded down
through the organisation.
In support of the City‟s key objectives, the IDP is underpinned by a series of sector plans that have been
prepared in recent years. These include:





an Economic Development Strategy,
an Integrated Waste Management Plan,
a Water Services Development Plan,
an Integrated Transport Plan, and
an Integrated Metropolitan Environmental Policy (IMEP).
The IDP furthermore compels all other persons to the extent that those parts of the IDP that impose duties or
affect the rights of such persons, have been passed as a by-law. It also informs the City‟s contribution to the
work initiated through intergovernmental processes involving the Western Cape Provincial Government
(„Province‟) as well as National Government.
The IDP is continually refined through a project prioritisation process, informed to a large extent by budget
parameters. Its effective implementation relies on partnerships with external role players, and institutional
improvements within the City.
Setting direction for the future
At the beginning of the City‟s current term of office, the main focus was identified as comprising two key issues:
1. Governance - restoring the credibility of the administration, stabilising the Council workforce and
improving efficiency; and
2. Investment in infrastructure - there was a large escalation in expenditure on infrastructure throughout
the city. This was also linked to a sustainable infrastructure investment for the 2010 FIFA World cup.
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As the City finds itself in the fourth year of the current five year IDP, the emphasis has shifted to focus on
longer-term sustainable growth and development for Cape Town. This thinking is shaped by a realisation that
key fundamentals such as mobility, densification and infrastructure investment along development corridors
need to be put in place. In order to achieve this, the City has embarked on a number of processes to shape a
long-term spatial framework and develop an over-arching City Development Strategy to guide the development
of the city over the next two to three decades.
In this IDP review (the final for
the current term of office), an
attempt has been made to create
a bridge between the City‟s
current five-year strategic path
and the development and
implementation of its longer-term
strategies. Central to this bridge
is initial thinking around four
possible key strategic directions
the City will take in the coming
years and how these could be
realized tangibly in the actual
development of Cape Town.
The first consideration involves
guiding and directing possible
new growth towards the northwest (Blaauwberg-Atlantis) of the
City. In support of this direction,
the City is investing in a dynamic
and innovative rapid public
transport route over the next
three years (See Strategic Focus
Area 4). Expansion around this
corridor will be supported by
planned and structured support
by utility services and housing
development. Land is already
being purchased by the City to
ensure that public infrastructure,
investment and affordable housing can be facilitated over the longer term.
The second consideration involves densification, directed economic growth, and the upgrading of public
infrastructure in support of these strategies around the N1-Voortrekker road corridor. The City is currently
reviewing its asset and infrastructure base to determine its approach in the implementation of this direction.
There is enormous pressure on the services and utility budgets due to service and infrastructure backlogs, and
this focus will require the re-adjustment of the City‟s prioritisation process to direct public infrastructure funding
towards the targeted areas in the next term of office. The City has already allocated R4.3 bn towards
investment in the Integrated Transport Plan over the next three years. This will include the City-Airport link that
will provide an important public infrastructure injection in this area and, which it is hoped, will lead to further
private infrastructure investment and economic growth.
The third direction involves the upgrading and renewal of areas towards the south-east of the city. This will
entail a major investment in affordable housing, poverty alleviation, training and education as well as
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investment in public and economic infrastructure. In order to support this approach, the City is already investing
in Urban Renewal and Violence Prevention through Urban Upgrade (VPUU) programmes in Khayelitsha and
Mitchells Plain. The City has also embarked on a pilot programme in five informal settlements, primarily in the
south-east of the city, as part of the informal settlement upgrade programme (See Strategic Focus Area 5). The
economic, social , and community development directorates of the City are also investing in a variety of
infrastructure and maintenance activities to improve the lives of the people living in this area, who constitute
almost fifty percent of Cape Town‟s polulation.
The fourth strategic direction is towards the south-south-west of the City. For the most part, this area is welldeveloped and enjoys good infrastructure and services. It is important that service and maintenance levels are
maintained at current levels to sustain confidence levels and functioning and the investment focus will be on
ensuring such maintenance.
A focus on encouraging investment
While the city has successfully been positioned as a prominent international tourist destination the economic
development strategy has now shifted to focus on attracting investment. This will be achieved by means of
positioning Cape Town as a prominent investment destination, exploiting its comparative and competitive
advantages, and targteting specific niche investment markets (see Strategic Focus Area 1). This strategy is
closely aligned with the City‟s environmental focus in order to build a resilient, low carbon city (See Strategic
Focus Area 2). Apart from a drive to attract investors to the city, there is also a strong emphasis on local
economic development, and SMME and Business Development and support. This focus includes plans to
partner with the Provincial Department of Education and local academic institutions to promote relevant skills
development for the expanding and growing segments of the economy.
Encouraging infrastructure-led development
The City established a Budget Committee to assist with the prioritisation of funds in order to optimise the return
on investment in public infrastructure. This is linked to the improvement and maintenance of the City‟s
economic and social infrastructure as well as the upgrading of services and service infrastructure in the areas
of need (see Strategic Focus Areas 2 and 5). The 2010 FIFA World Cup event ensured a major financial
injection into the development of the transport and service infrastructure of the City, and there is a strong drive
to maintain this initiative over the next decade. This includes an investment of almost R5-billion into further
transport infrastructure over the next three years (See Strategic Focus Area 4). This will also see a world-class
integrated rapid transport line from the Cape Town International Airport to the City centre. The City is also busy
with a substantial upgrade of its institutional Information Technology infrastructure that will place its broadband
and optic cable network on par with the best in the world.
Greater emphasis on densification as a strategic focus of the City will require the prioritization of funds for the
upgrading of public infrastructure in targeted areas, as stated in the draft Spatial Development Framework of
the City. It must be remembered, however, that the City is facing serious infrastructure backlogs that it is
committed to addressing, but doing so inhibits the City‟s ability to prioritise funds for further development in the
short term.
In order to be an attractive investment destination, the City must be safe, clean and well governed. In terms of
governance, the City has taken every measure to ensure that effective staff placement, performance
management and reskilling processes are in place to ensure that it has productive people in the right jobs (see
Strategic Focus Area 8). The City is recognised as being well managed and, in 2009, received an unqualified
audit for the sixth year in a row. A total overhaul of by-laws and a substantial overhaul of policies and strategies
has seen an improvement in service delivery and staff morale, providing an important platform to make it easier
for investors to do business with the City, as well as more pleasant place for residents to stay.
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In terms of safety, the City has made an impressive improvement in terms of preventative and visible policing.
Various programmes targeting drug abuse and traffic offences have proved highly effective (see Strategic
Focus Area 6). This approach will contine with the aim of making the City safer for visitors, investors and
residents. This, together with major improvements in the standards of the City‟s social, health and sport
facilities will also contribute to making the City an even more attractive place in which to live, work, and invest,
and will assist in promoting the City as the preferred events and convention destination in Africa (See Strategic
Focus Area 7).
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SECTION 2
About Cape Town
Bounded by two oceans and majestic mountains, Cape Town is undeniably one of the most beautiful cities in
the world. But while its scenic splendour and its incomparable geographic setting serve to attract tourists,
residents and businesses alike to its shores, in many ways these unique topographical factors are also at the
heart of many of the challenges Cape Town faces in its efforts to deliver sustainable development at an
economic, social, and infrastructural level.
Include map of Cape Town highlighting topographical features.
CAPE TOWN AS A CITY WITHIN A REGION
As South Africa's third-largest city, Cape Town has a large concentration of people, resources, services and
infrastructure, but is faced with a number of physical constraints in terms of its spatial development. Home to
1
66% of the Western Cape‟s population, Cape Town generates 76% of the region‟s gross domestic product
2
(GDP), and contributes 11% to national GDP , making the city an important driver of regional, provincial and
national development. It is the region‟s major service centre for health care, education and shopping, and
provides employment to people from across the province, and beyond. The city is becoming increasingly linked
to surrounding towns, resulting in higher levels of interdependence, but also placing greater pressure on the
resources and infrastructure of those towns.
Shared functional regional challenges
Key strategic regional infrastructure is located in Cape Town, including Cape Town Port, which is set to
undergo a major expansion. Its counterpart at Saldanha, which has the potential to be a catalyst for further
large-scale industrial development, may compete with, or complement Cape Town's port in the longer-term.
The National Ports Authority is considering the interdependent roles of both ports, especially with respect to
long-term capacities.
Other major regional infrastructure in Cape Town includes Cape Town International Airport, which is located in
a strategic position in the centre of the metropolitan area. As the airport becomes busier, its traffic and
environmental health implications may become cause for concern. For this reason, plans for further expansion
of the airport on the existing site is being discussed with the Airports Company of South African. The longer1
2
Community Survey 2007
Quantec 2007
14
term development of a system of airports and the ongoing servicing or increasing air travel needs are also
being discussed and the feasibility of alternative sites is being investigated.
Cape Town as part of the region
For these, and other reasons, the sustainable development plans for Cape Town must give due consideration
to its position as a regional city and the strategic plans for the rest of the region.
CAPE TOWN AS A CITY WITHIN A COUNTRY
The effectiveness of Cape Town‟s strategic plans depend to a large extent on the City‟s ability to align these
with national and provincial initiatives and combine its efforts with those of regional and national government.
There are currently six critical elements of national and provincial development strategy that inform and
influence the City‟s Integrated Development Plan. These include:
The Local Government Turnaround Strategy
National Government has expressed its concern about the state of local governments in the State of Local
Government in South Africa 2009 Overview and has identified various initiatives to redress the perilous
state in which many municipalities across the country find themselves. The following priority areas are
identified:
• Huge service delivery and backlog challenges (e.g. housing, water and sanitation).
• Poor communication and accountability relationships with communities.
• Problems with political administrative interfaces.
• Corruption and fraud.
• Poor financial management (e.g. negative audit reports).
• Number of service delivery protests.
• Weak civil society formations.
• Intra- and inter-political party issues negatively affecting governance and service delivery.
• Insufficient municipal capacity due to scarcity of skills.
Urban municipalities, and the more stable smaller municipalities are also being challenged due to
increased urban growth, new household formation, and population growth - all of which require better
spatial and infrastructure planning and more credible public participation and community interface systems.
The proliferation of informal settlements in urban areas is beyond the capabilities (institutional and fiscal) of
many municipalities to effectively address by themselves. In November 2009 the Local Government
Turnaround Strategy document was produced and included the following five strategic objectives:
15
•
•
•
•
•
Ensure that municipalities meet basic needs of communities - This implies that an
environment is created, support provided, and systems built to accelerate quality service delivery
within the context of each municipality‟s conditions and needs;
Build clean, responsive and accountable local government - Make sure that systems and
structures and procedures are developed and enforced to deal with corruption, maladministration
and ensure that municipalities communicate and account more to communities;
Improve functionality, performance and professionalism in municipalities - Ensure that the
core administrative and institutional systems are in place and are operational to improve
performance;
Improve national and provincial policy, support and oversight to local government; and
Strengthen partnerships between local government, communities and civil society - Ensure
that communities and other development partners are mobilized to partner with municipalities in
service delivery and development.
Some of the immediate implementation priorities of the Local Government Turnaround Strategy are to:



address the immediate financial and administrative problems in municipalities;
tighten & implement a transparent municipal supply chain management system; and
overcome “one size fits all” approach by differentiating responsibilities and simplifying IDPs.
The City of Cape Town has already implemented a number of measures that deal with the issues raised
by:
• ensuring that the provision of basic services is prioritised (see Strategic Focus Area 2 and the
MTREF sections in this document);
• ensuring a clean and responsible government (See Strategic Focus Area 8 and the
governance section of this document);
• ensuring financial sustainability (See the MTREF section of this document), and
• dealing with human resources (See Strategic Focus Area 8 in this document).
Having put the basics in place, the two most important issues the City still needs to deal with in its
turnaround strategy are:
• dealing with urbanisation (See various initiatives in the Strategic Focus Areas in this document
relating to service delivery, healthy communities, spatial planning and economic development in
preparing for urbanisation), and
• ensuring meaningful community involvement. (The City recently approved a Public Participation
Policy to facilitate improved and meaningful participation.)
The Provincial Growth and Development Strategy (PGDS)
The PGDS takes the name iKapa Elihlumayo (A Home for All), and has a mandate from provincial
stakeholders to define shared growth and integrated development targets and objectives for 2014. The
initiative focuses on strengthening growth sectors, the management of resources, and the implementation
of strategies. The key pillars of the proposed development path are growth, equity, empowerment and
environmental integrity. The Provincial Government is currently considering a new ten point strategy for the
province. These are closely aligned with the strategies of the City:
1.
2.
3.
4.
5.
6.
7.
Increase economic opportunity for all the people of the Western Cape
Reduce poverty through promoting opportunities for all
Promote rural development
Efficient and effective infrastructure
Sustainable human settlements
Improve individual and household capacity to respond to opportunity
Improve efficiency and effectiveness in health, education, wellbeing and safety.
16
8. Sustainable resource use through greater spatial integration
9. Effective public and non-motorised transport
10. Effective, responsive and responsible governance
The Provincial Spatial Development Framework (PSDF)
This aims to address urbanisation pressures on natural resources, and economic and social divisions
within the provinces‟ cities and towns. It provides a policy context for urban development and
environmental resource protection. The various engagements between the City and Province in the
consultative process towards the finalisation of the City‟s Spatial Framework have resulted in clearly
aligned intent between these two spheres of government.
The Intergovernmental Development Agenda for Cape Town.
The City engages with the Provincial and National Government in a structured and functional manner.
Formal engagements take place on a quarterly basis at political level between the Provincial Cabinet and
the City‟s Mayoral Committee. At a technical and administrative level, engagements take place at sectoral
(functional level) as well as in three formal engagements between the Provincial Heads of Department as
well as the Executive Management Team of the City. This is aimed at ensuring that the city derives
meaningful benefit through such interaction by ensuring that better planning, coordination and
accountability are achieved, that the city‟s strategic objectives of infrastructure investment for economic
growth, service delivery excellence and institutional efficiency are enhanced, and resources better and
efficiently utilized. In short, it is aimed at ensuring the city extracts value and benefit for its participation in
intergovernmental and international cooperative relations.
Alignment of government strategies
CAPE TOWN AS A CITY IN THE WORLD
Cape Town has an increasingly important role to play in the development of South- and Southern Africa. It is a
valued contributor to the national economy, and together with the Gauteng Global City Region and Ethekweni
Municipality, anchors the SADC regional economy. Given the increasingly global economy within which the
City operates, Cape Town is being called upon to compete internationally to ensure its sustainable economic
growth, without losing sight of its local, regional and national development imperatives. For this reason, the
City‟s Development Strategy is required to be a coherent guide to focused infrastructure investment and the
sustainable utilisation and protection of global common goods, including climate/air quality, biodiversity and
water.
While Cape Town is well established as a leading international tourist destination, the need remains to
aggressively promote the city as an international business and investment destination despite the current lack
of national tax and other incentives to attract investors.
At the beginning of the 20th century, benchmarks such as port capacity and manufacturing capabilities were
the driving forces for success amongst global cities. Now, new forces are seen as important levers to facilitate
17
growth and development. These include intellectual capital, transportation assets, business costs, technology,
innovation, and ease of doing business. In all these areas, Cape Town has the potential to become a leader of
economic development on the African continent and the City‟s strategic plans need to build on the already
strong services sector and work with business and leisure tourism stakeholders to become Africa‟s events
capital. A key role player in achieving this vision is the Cape Town International Convention Centre, which has
played a pivotal role in attracting events and conferences to the city and will continue to do so on a larger scale
once its proposed expansion is approved and completed.
A CITY WITH VISION
Against the backdrop painted in the preceding paragraphs, the vision of the City of Cape Town remains:
 To be a prosperous city that creates an enabling environment for shared growth and economic
development;
 To achieve effective and equitable service delivery;
 To serve the citizens of Cape Town as a well governed and effectively run administration.
To achieve this vision, the City recognises that it must:
 actively contribute to the development of its environmental, human and social capital;
 offer high-quality services to all who live in, do business in, or visit the city as tourists; and
 be known for its efficient, effective, and caring government.
A focus on infrastructure investment and maintenance to provide a sustainable drive towards economic growth
and development spearheads the achievement of this vision. It is recognised that this growth must be
supplemented by a strong drive for safety and security, as well as support for business development, a strong
social drive for improved support for the poor, and programmes focused on upgrading informal settlements and
backyard dwellings to provide for all the citizens currently living in inadequate housing conditions.
RECOGNISING THE REALITIES FACING CAPE TOWN
While the City of Cape Town‟s ability to provide key infrastructure to achieve sustainable and shared economic
growth is at the heart of the IDP, the achievement of this objective is not without its challenges.
The City‟s governance and management structures are currently confronted by a mixture of challenges and
opportunities. The failure of international financial institutions and the impact of high oil prices, combined with a
worldwide economic downturn since 2008 and the huge cost of the Integrated Public Transport system are
major challenges that the City now needs to manage.
Furthermore, Cape Town‟s participation in the 2010 FIFA World Cup has resulted in unprecedented public
sector investment in the city. While this has had the positive effect of spurring momentum amongst private
sector role players, it also translates into significant infrastructure provision, capital funding, and institutional
capacity challenges. The reality facing the City is that infrastructure spending has effectively been tied down in
2010, with little scope for the required infrastructure spending.
In addition, the IDP must be seen in the context of number of other challenges and realities facing the City at
present. These include:
Economy and Productivity
18
The City currently operates within the context of a recessionary global economy. Expenditure has been
reviewed and, where necessary, non-essential projects have been re-phased. The City is also pursuing other
diverse revenue income streams. Further fiscal risks such as potential large electricity price increases and
growing poor populations mean that resources need to be even more efficiently utilised. The organisation
maintains high financial management standards (as evidenced by its unqualified audit) and a good credit
rating, and is working to reduce the amount of money the City is owed.
The City‟s contribution to Provincial GGP decreased by 1.8% between 2005 and 2008, but its proportion of
National Geographic product increased by 4% during this time. This suggests that the global economic
downturn is having less impact on Cape Town than is the case in the rest of the country.
Source: Quantec (2009)
The City may be more resilient to broader economic impacts as a result of its diverse economy, and reduced
dependence on resources. Service industries are expected to continue performing well, except where higher
interest rates might impact on retail and wholesale (Cape Town Chamber of Commerce, 2009). Tourism,
construction, wine exports, and call centres should be relatively immune to the current economic crisis
although this doesn‟t take into account anticipated electricity tariff increases.
Despite the City‟s flexibility in adapting to difficult economic conditions, unemployment has only decreased very
slightly since 2003. Approximately 21% (22.5%, according to Province’s quarter 3 of the 2009 labour statistics)
of Cape Town‟s working population were unemployed in 2008 according to Statistics South Africa‟s revised
definition for this year. This unemployment figure equates to just under 336 000 people, of which 0.5% were
discouraged work seekers. It is interesting to note that although this provincial unemployment figure showed an
increase, overall employment figures have remained stable. This means that higher unemployment is not
necessarily a result of job-losses (as has been the case nationally), but is more likely a result of an increase in
3
the rate of labour force participation.
The City„s economic development programmes have created about 34 000 job opportunities since 2006. In the
2008/9 period, 10 613 direct opportunities were provided mainly within informal markets, small business
support facilities and the Cape Film Commission, with a further 18 852 indirect opportunities occurring in this
period. Jobs created by Cape Town‟s Extended Public Works Programme have almost tripled since 2006, and
in 2009 about 16 500 jobs were provided with a target of 18 000 jobs for 2010. Although the City continues to
be a net importer of migrant labour, the skilled work-pool continues to decline with out-migration of skilled
3
Provincial Economic Review & Outlook (PER&O), speech by Alan Winde, Provincial Minister of Finance, Economic Development and
Tourism 24 November 2009
19
workers and reducing graduate numbers. This impacts negatively on the capacity of local business as well as
the City as an organisation.
The promotion of entrepreneurship and incentivisation of import and export activities represent an opportunity
to grow the availability of employment opportunities in the longer term, and these need to form part of any
strategic plans aimed at alleviating unemployment in the city.
Cape Town received R20,8 billion in Total Foreign Direct Spend (excl. capital expenditure) in 2008, which
4
showed a 16,3% growth from 2007 . During 2008/9, R1.24 billion of investment in Cape Town was secured by
Wesgro (the City of Cape Town‟s primary direct investment promotion partner) and other Sector Organisations.
This was an admirable achievement given the current economic conditions, and not far off the R1.5 billion
target. Facilitating Local Economic Development (LED) is part of the City‟s job creation objective which
includes a range of projects and programmes such as the urban agriculture programme, SMME business
support and prioritising skills development based on local requirements.
An important factor that requires consideration is the skills mismatch that exists in terms of qualifications
needed in the market now and the limited number of employees with the necessary technical and academic
abilities. This is exacerbated by the growth of the knowledge economy, and requires a coordinated and
integrated plan involving the City, Province and academic institutions in the city. The City-CHEC (Cape Higher
Education Consortium) relationship will be a key factor in developing such a plan as part of the drafting of the
City‟s long-term Growth and Development strategy.
An important factor for launching the City as a knowledge and innovation centre is a workforce that is prepared
for the opportunities of a growing services and a high-technology workplace. A partnership between the City
and Province is important for a seamless strategy to ensure that workers are prepared from the Early
Childhood Education system (which is the City‟s responsibility) to the tertiary education system, with
appropriate language, technical and managerial skills. Infrastructure, facilities and systems needs to be aligned
in order to optimize these strategies.
Cape Town continues to be a preferred destination for tourists and investors, as well as a competitive choice
for international and national events. The Western Cape received the second highest share of international
5
arrivals (1,6 million) in 2008 . The FIFA World Cup, to be held in June / July 2010, has provided a strong
impetus for infrastructure development, and will provide further opportunity for future events, tourism, City
partnerships and niche investment opportunities. Cape Town‟s natural environment and resources are a
cornerstone of economic wealth, and are attractive to both tourists and investors. However, continuing with a
„business as usual approach‟ without cognisance of sustainable development is potentially damaging to the
future of the City. Positioning Cape Town as a global „Green City‟ is likely to further promote tourism and
ecotourism as well as making it an attractive place for foreign investment.
The ability of the City to provide economic infrastructure that enables and supports a focused investment
promotion strategy will remain an important challenge in the medium- to long term. Sustainable incentives, an
effective public transport system, world-class broadband facilities, relevant skills, and an investment friendly
economic infrastructure development plan are therefore non-negotiable aspects of the City‟s Development
Strategy.
4
5
Source: Cape Town Routes Unlimited
Source: Cape Town Routes Unlimited
20
Human Settlements and Services
The effect of an unpredictable global economic environment on Cape Town is compounded by continued
urbanisation trends and a steady inflow of rural and African job seekers into the city. While the UN World
Development Report 2009 encourages concentrations of people to boost economic development over the longterm, in the shorter- to medium term this places pressure on local government to provide the infrastructure and
services to support this urban growth. The result of largely unplanned human influx into Cape Town has led to
secondary challenges, mostly within human settlement patterns, access to services and social cohesion.
The City‟s current population estimate of 3.5 million people (2009) exceeds what was anticipated by much
earlier projections for 2009. The current status is that almost half of Cape Town‟s households are sheltered in
inadequate dwellings and informal settlements. Approximately 400 000 families have expressed a need for
formal housing opportunities by placing their names on the City‟s Housing Database. However, this backlog is
aggravated by consistent annual growth in housing demand of approximately 17 000 dwellings either from new
family formation or in-migration.
The City has aligned its housing development strategies and goals with that of National Department of Human
Settlement‟s Comprehensive Plan for the Development of Sustainable Human Settlements (BNG Strategy) and
the Western Cape Provincial Department‟s Sustainable Human Settlements Strategy (Isidima) to deliver
housing opportunities and a mixture of tenure types for poor households, with adequate access to social and
economic opportunities in well located and safe urban areas. The City seeks to achieve this by implementing
the range of National Housing Programmes available with funding funding provided through its annual Division
of Revenue Allocation (DORA) from Provincial Government.
Informal Settlements
There are currently an estimated 230 informal settlements in Cape Town, accommodating almost half of
the city‟s households. The City approved an Informal Settlement Master Plan Framework in November
2007, which aims to integrate informal areas into the broader urban fabric to overcome spatial, social and
economic exclusion. Central to this plan is the provision of in situ essential services such as water,
sanitation and electricity. The services will be delivered in phases, aiming for upgrades to 25% of existing
informal settlements by 2012. Informal Settlement Management programs are a new initiative to further
assist with service delivery to communities. This currently includes 19 permanent management offices in
some of the larger settlements to facilitate better governance processes for service delivery through
equitable consultation.
Five pilot sites have been identified as part of the informal settlement upgrade programme. The City is,
however, faced with the significant challenge of achieving a balance between densification and land
banking on the periphery of Cape Town, which results in people living further away from economic zones
and employment, and places pressure on transport infrastructure. Investigations into the viability of highrise residential buildings along major transport corridors must be seen in this context, as well as the high
cost of land and high-rise building construction, not to mention the increasing expectations of residents for
own plot/house provision - especially in the lower-cost housing market.
Number of Housing Opportunities created by the City 2007-2009, with projections until 2012
21
* Projected Figures based on National Treasury funding
Creation of Housing Opportunities
Despite all its best efforts, housing demand in Cape Town currently outstrips available supply. The City is
actively seeking ways of managing this challenge.
As part of this process, the City aims to improve its mandated town planning services through improved
team performance, technology enhancements, regulatory reform and wider community impact. The
following table gives a breakdown of the time it takes to process development plans in the City‟s regional
planning offices.
Service Delivery
Although the City follows an infrastructure-led development approach, there remains a challenge in
meeting service backlogs in a sustainable and inclusive manner. A very small percentage of the City‟s
increasing population does not have access to certain basic services which needs to be addressed.
Unfortunately, new services provision competes with infrastructure maintenance for resources, and some
existing infrastructure is becoming stressed. High levels of access to basic services have been attained
for water supply, solid waste services and cleaning and refuse removal. However, the provision of
adequate sanitation and electricity still lag in informal areas with household target service levels.
Cape Town faces a notable challenge in dealing with solid waste into the future, and its landfill capacity
isn‟t sufficient for likely waste increases in the medium-term (five years). Various interventions and
programmes are intended to deal with the waste site issue, such as landfill / dump rehabilitation, new
landfill sites, integrated transfer stations, mini material recovery facilities (specifically for the 2010 World
Cup) and waste collection vehicle replacement. Furthermore, an alternative-technology disposal facility
will be established by 2009/10. Contract services with Community-Based Organisations for area cleaning
and waste collection will continue in informal areas. Education and awareness programmes in
disadvantaged communities will be implemented for waste management and minimisation.
Energy and the Environment
Cape Town derives its energy from a number of sources. Electricity is produced primarily through the burning
of coal, with smaller proportions derived from nuclear and renewable sources. Liquid fuels - petrol and diesel are mainly used for transport purposes, whilst paraffin is in common usage for household cooking and lighting
needs. According to the State of Energy Report for Cape Town 2003, electricity constituted 33% of overall
energy consumption. Renewable power generation sources currently constitute less than 1% of the City‟s gridbased electricity supply, provided mainly by the Darling Wind Farm and natural runoff through the Steenbras
hydro-electric scheme.
Reductions in electricity consumption targets are being developed as part of an Energy Plan, and during
2008/09 the Cape Metropolitan Area achieved 2.5% less than projected unconstrained electricity consumption.
This means that under current operating conditions (or „business as usual‟), the City used 2.5% less electricity
22
than that projected for the year based on historic electricity consumption growth. Electricity consumption
targets going forward will aim for a further reduction in unconstrained growth of up to 10%, from a 2007
baseline.
Electricity Consumption by the City of Cape Town 2008/9 in comparison to Projected Electricity
Consumption for this period using 2006/7 as a base year
The City‟s current water use is almost 27% below projected unconstrained demand. To maintain this reduction
and improve water use efficiency, the City undertakes a number of activities such as repairing end-user leaks,
re-using treated effluent as well as education and awareness programs. Cape Town‟s 2008 State of
Environment Report categorises the City‟s freshwater quality as well as the False Bay coastal water quality as
deteriorating. The Atlantic coast has shown signs of improvement.
The main sources of natural water contamination are polluted stormwater, raw sewage from informal
settlements, and leaking or damaged sewers and pump stations. The state of Cape Town‟s fresh water and
coastal areas is a serious concern and rapid urbanisation is adding to environmental pressure on these
resources. However, the City‟s air quality is showing overall improvements, and it aims to achieve and maintain
the status of having the cleanest air of all African Cities over the next 10 to 20 years.
The conservation status of natural vegetation within the metro is being closely monitored, but changes in the
historical extent of indigenous flora reflect shocking levels of losses. Since 2004, three additional vegetation
types were reassessed as being critically endangered at a National level, bringing the total of critically
endangered items to 11 out of a total of 19 vegetation types. The negative impact of this degradation is not
only of biological concern, but also effects the more intrinsic values of an environment like natural beauty and
aesthetics. Cape Town is considered the heart of the unique Cape Floristic Region, a global biodiversity
hotspot, and the intangible benefits of its biodiversity can‟t be accurately measured in monetary terms.
However, the preservation of the City‟s natural assets for public well-being, tourism, biological health and the
benefit of all is apparent.
Vegetation Conservation Status in Cape Town 2009
23
Minimum conservation targets have been set for the individual vegetation types at between 24% and 30% of
the original (historical) extent. Even though certain vegetation types may appear to be sufficiently above this
target, high levels of species endemism as well as high turn-over in species composition increases their
vulnerability to degradation. The major causes for biodiversity loss are cited as a result of human development
(built environments) as well as alien invasive species. The map below gives an indication of the complexities of
biodiversity levels in the City.
Climate change is placing increased pressure on the environment, and global emission agreements mean that
the City needs to pay increasing attention to greenhouse gas emissions and other pollutants. Cape Town‟s
24
large informal areas as well as its extensive biodiversity make it a high risk location for disaster management.
Preparing for the likely impacts of natural disasters and climate change will enable the City to be proactive in its
response to emergencies of this nature. Poor communities remain vulnerable to fire, flooding and other
uncontrollable hazards, and the impacts of these events place additional strain on all resources.
Transportation and Spatial Development
Transport systems are an essential integrating function of cities, and a critical facilitator of effective mobility and
access supporting a healthy economy. This is particularly true for Cape Town which has experienced an
annual 3% increase in traffic volumes over the last ten years. The City‟s Integrated Transport Plan (ITP)
addresses three main objectives:
providing transport support for economic growth and specifically public transport systems;
prioritising people‟s needs for transport; and
minimising the impact of transport on the environment.
Also, a number of sectoral strategies for integrated transport have been reviewed in the ITP including safety,
public transport operations, transport infrastructure, travel demand management, freight, non motorised
transport, ports, airports, road network operations, coordinated planning, asset management, institutional
strategy, funding and public consultation.
Recognising that South Africa is a highly private vehicle dependent society, the National Government
introduced the concept of the Integrated Rapid Public Transport Networks (IRPTN) in 2007. The IRPTN will
focus on Rail Priority Corridors and Bus Rapid Transit (BRT) Networks, while maintaining the centrality of the
existing bus and minibus sector. The first phase of the network is focusing on the Blaauwberg to Cape Town
City centre, and 15km of dedicated lanes are currently under construction along these corridors.
The current split between private vehicle usage and public transport averages at approximately 70:30% on any
given day, although the morning peak reflects a 50/50% split. The ITP aims to reduce private vehicle usage
and increase public transport usage by 9% by 2020.
Modal Split Targets
Year
% Private
% Public Transport
Existing
52 %
48%
2010
50 %
50%
2015
47%
53%
2020
43%
57%
Source: Integrated Transport Plan 2009, City of Cape Town
While it is an obvious requirement of a growing city, as with all the strategic focus areas, transport represents
one aspect of what must be an integrated infrastructural development plan. This plan must also takes
cognizance of the housing, economic development and natural resource preservation needs of the city when
setting out how to meet the rapidly growing transport needs of the city.
Quality of Life
Cape Town reflects broader South African challenges that exist as a result of sharp differences between socioeconomic levels. These vulnerabilities contribute to broader social challenges such as crime, gangs and drugrelated behaviour. The fact is that poverty remains a reality in the city, and a comprehensive anti-poverty
strategy is required to addresses the economic and social needs of Cape Town‟s poor. Any such strategic plan
will need to be drawn up in partnership with Provincial government and linked to the forthcoming national
strategy aimed at addressing safety, jobs and health in the country.
Although the City has the lowest prevalence of HIV/Aids, STIs and TB of all South African Cities, it remains a
challenge to reduce the spread and impact of these diseases. It is acknowledged that such severe health
25
issues impede sustainable development, and the City has made the mitigation of HIV/Aids, STIs and TB a
priority by adopting a multi-sectoral strategy to contain, reduce and treat these diseases, and address the
underlying causes of their continued spread.
Cape Town‟s HIV/Aids prevalence rate remained largely unchanged between 2004 and 2007 at an average of
almost 18% according to the Western Cape Provincial Department of Health. What is more encouraging
however is the increase in the number of Antiretroviral Treatment (ART) dispensing facilities over the last four
years, as well as the number of people registered for treatment.
Number of ART health facilities and people registered for treatment in the City
No. of ART Dispensing Facilities
Dec-06
28
Dec-07
35
Dec-08
44
Jul-09
48
No. of people registered for ART treatment
17 646
25 544
37 355
46 460
ART: Antiretroviral Treatment / Antiretroviral Therapy
Source: Western Cape Provincial Department of Health
City Health currently operates according to a Service Level Agreement (SLA) in partnership with the Provincial
Health Department. The SLA guides the delivery of shared health services at 82 clinics, 4 Community Health
Centres, 24 Satellite Clinics and 4 Mobile Clinics. These facilities ensure the provision of comprehensive
Primary Health Care and maternal and child health services, including preventive and promotional
programmes. Cape Town‟s Infant Mortality Rate (IMR) has considerably declined since 2003, which is a good
indicator of overall health in the City, as well as improved living and social conditions.
It has been difficult to track and trend poverty and living standards levels since the 2001 National census,
mostly because of non-availability of household income data. Statistics South Africa‟s annual General
Household Survey currently provides an indicator of income levels through its monthly expenditure figures. The
graph below shows expenditure brackets for 2007 and 2008 for Cape Town. It is assumed that the poor spend
almost all of their monthly income, and so their expenditure can be more closely linked to income levels. If
household expenditure of R2 500 per month or less is considered the poverty line (the City defines an indigent
household as having a monthly income of R2 880 or less), then the proportion of households living below this
line was approximately 48% in 2008. The percentage of households in this bracket dropped slightly from 2007.
Household Expenditure for Cape Town, 2007 and 2008
26
Source: Statistics South Africa General Household Survey Compiled by: SDI & GIS, City of Cape Town
Safety and Security
Fostering a safe and secure environment is currently a strategic challenge for the City, and crime levels
negatively impact on the quality of life in Cape Town and also pose a threat to its future prosperity. Existing and
future losses in investment opportunities and visitor revenues cannot be measured accurately, although are
likely to be significant.
Statistics indicate gradually decreasing overall crime levels since 2003, although Cape Town has experienced
a significant increase in drug-related crime (approximately 27% increase per year), which includes an increase
in driving under the influence of alcohol or drugs (average annual increase of 22%). There has also been a
notable increase in commercial crime since 2003 (average of 10% annual growth), as well as robberies at
business premises (average of 75% annual growth). Residential robberies have shown an annual average
increase of 25% in this time as well. It must be noted however, that increases in certain crime incidences may
be a result of improved reporting and law enforcement and are not necessarily a result of higher crime levels.
Violent crime includes murder, total sexual crimes, assault with intent to inflict grievous bodily harm and
robbery with aggravating circumstances and has shown a gradual decrease of 6.6 % per annum since 2003.
Crime Trends (per 100 000 of the population) for Drug-Related Crime, Violent Crime and Commercial
Crime, Cape Town 2003-2009
Source: SAPS, Crime Statistics 2009 - Compiled by SDI & GIS, City of Cape Town
27
Despite the City‟s best efforts to reduce and prevent crime, it is becoming increasingly evident that criminal
patterns are symptomatic of unhealthy social and living environments. HIV/Aids, drug related behaviour, family
breakdown, dislocation of communities and other social issues pose a threat to the establishment of a healthy,
balanced generation. Community activities and facilities, specifically for the youth, have been identified as
methods to prevent criminal and gang-related behaviour. Children‟s play parks and multipurpose / sports
facilities specifically are in further demand, particularly in poorer areas. Cape Town also has the advantage of
leveraging its natural environment to create well-being. Although the City has a good ratio of nature reserves to
total population, these reserves are often inaccessible to people in lower socio-economic areas, as travel times
6
and costs are high .
Focusing on the youth and Early Childhood Development are potentially powerful methods of reducing criminal
behaviour at source. Citizens are eager to use community and sports facilities and activities as tools for
engagement with young people, and as preventative measures against criminal and antisocial behaviour. The
City would benefit from investment in developing holistically integrated, healthy communities from a spatial and
a social perspective.
PUBLIC PRIORITIES: WHAT CAPETONIANS WANT FROM THE IDP
The City of Cape Town regards public confidence in its abilities, participation by citizens, and mutual
understanding amongst all stakeholders as key elements in achieving its objectives. In order to obtain inputs
from the public on the review of the IDP, the City used a range of mechanisms, including:
 The annual Community Satisfaction Survey (CSS) 2008/09
 The C3 Notification system records for 2008/09 (C3)
 The IDP public participation outreach comments and inputs August to October 2009 (IDP)
 The Mayor‟s Road Show (MRS) – “Talking to the People” September – November 2009,
 The City‟s Risk Register for 2008/09
Of all the sources of information used to glean resident feedback, the Community Satisfaction Survey (CSS)
findings are the most scientifically defensible. The second annual City of Cape Town CSS of residents and
businesses in Cape Town was conducted between November 2008 and February 2009. The results of the
survey showed that the perceptions by residents of Cape Town regarding the performance of City of Cape
Town have improved. 54% of residents now say that the overall performance of the City is good, very good or
excellent. This is up from last year‟s score of 50%.
6
(See Biodiversity Network Map.)
28
Issues of priority for Cape Town residents – customer satisfaction survey 2009
Issues of priority
Creating jobs
%
Providing housing
19
16
12
14
13
14
11
13
16
13
14
11
11
9
11
9
Having primary health care
Grow ing the economy
Having an open and accountable Government
Protecting the environment
Addressing HIV/AIDS
Building and maintaining existing infrastructure
Enforcing traffic and other by-law s
Encouraging social development
33
Reducing red tape
70
35
34
34
32
Fighting corruption
Significant change
from 2007/8
64
58
62
Preventing crime
Provides a strong
indication of the issues that
are important to people…
2008
2009
…jobs and preventing crime
have increased in
importance
3
3
What should the City prioritise?
The responses from businesses in Cape Town have also shown improvement, with 77% of those surveyed
saying that the overall performance of the City was good, very good or excellent. This is up from last year‟s
69%. In fulfilling its role as a public service provider 75% of businesses rated the City as good, very good or
excellent, an increase from 70% for last year.
The CSS polled a random sample of residents and asked them what the priorities of the City should be (please
refer to the graph below). The top two priorities- create jobs and address crime - were the same as the results
obtained in the 2007/08 CSS. However the number of residents choosing these priorities had increased.
Another steadily-increasing priority is protecting the environment - currently in eighth place. Fighting
corruption, housing and access to primary health care completed the top five priorities amongst.
The method used for the analysis of the responses was to group the comments according to the City
Directorate to which they applied, thereby identifying which services were most important in addressing the
needs and concerns raised by the public. Using this method Transport, Roads and Stormwater topped the list,
accounting for some 13% of public comments and requests. A cluster of four directorates - Economic & Social
Development, City Manager, Community Services and Housing - recorded over 12% of the comments,
followed by Service Delivery Integration, Utility Services, Safety and Security and Health. The remaining three
Directorates all received less than 2% of the comments.
A number of issues raised by respondents do not fit neatly into any one focus area. These include illegal
dumping, traffic calming and housing delivery - all of which have „touch points‟ in many or all of the eight
Strategic Focus Areas.
29
Section 3
IDP ALIGNMENT WITH A LONG-TERM SPATIAL DEVELOPMENT FRAMEWORK (SDF)
To be effective, the five-year IDP must to be linked to a medium- to long-term spatial plan, which illustrates
how the IDP‟s aims will be achieved over time.
Spatial alignment of public and private investment
The role of the state should be to create the framework for market development, whilst simultaneously
enhancing the assets that are the preconditions for such development (e.g. infrastructure), and protecting the
foundations of sustainable and quality human settlements (e.g. the environment). The alignment of the City‟s
investments with those of other stakeholders, such as state-owned enterprises and the private sector, will be
emphasised in its strategy development so as to meet short and medium-term targets, especially in light of the
City‟s hosting of the 2010 FIFA World Cup™, where very specific objectives had to be met.
An analysis of the capital budgets and project priorities of the various sectors that impact on the spatial
organisation and operation of Cape Town has revealed that, in the short- to medium term, the vast majority of
public funds will have to be focused on maintaining existing infrastructure, and catching up on basic
infrastructure backlogs. Decisions on major bulk infrastructure that either causes or prevents urban expansion
will therefore shape the spatial development of the city over the next five years. Obviously, this will impact on
the achievement of the strategic objectives set out in the City‟s five-year IDP.
Generally speaking, the City‟s spatial development strategy will be to manage urban growth effectively through
the promotion of containment, densification and infill. It will seek to limit Cape Town‟s spatial expansion
(footprint), and make more effective use of existing infrastructure. This will require the upgrade of existing
infrastructure in areas where densification is considered - which, in turn, will require budget prioritisation (over
and above the funding of repair/replacement backlogs of bulk and reticulation-type infrastructure that will form
part of future asset management plans). Where new growth is allowed, this must take place along planned
growth corridors that are appropriately serviced by public transport.
This spatial development strategy, however, represents something of a Catch-22 situation for the City. The
cost of land along the corridors earmarked for densification is prohibitive, while the budgetary requirements in
funding the upgrade of infrastructure along these corridors limits the funding for the provision of low-cost
housing on the city periphery. This is exacerbated by the reluctance of the private sector to invest in higher
density, low-cost residential development. Finally, the fact that preparations for the FIFA World Cup and the
establishment of the city‟s Integrated Rapid Transport System have tied up the bulk of the City‟s discretionary
resource allocation for the next three to five years, will impact directly on the realisation of this spatial
development strategy and the associated IDP objectives.
A new City Spatial Development Framework
The City first adopted its Metropolitan Spatial Development Framework (MSDF) in 2001. Since then, Cape
Town has undergone a dynamic period of change and development, which is not reflected in this framework.
As a result, in 2006, the City, proposed a set of ideas called „Future Cape Town‟, which focused on the issues
and choices facing the City over the next 30 to 40 years.
A review of the MSDF and the Future Cape Town initiative established the basis for a new Spatial
Development Framework (SDF), which is intended to guide Cape Town‟s long-term development.
The SDF will provide a broad, long-term spatial concept, key spatial strategies, and supporting policy for issues
such as open space systems, transport and land-use integration, sustainable neighbourhoods, densification,
urban growth paths and the urban edge. This is a long-term plan to manage growth changes in the City, and
ensure that urban growth happens in a sustainable, integrated and equitable manner. The framework includes
district-level spatial and environmental plans, and will specifically guide densification and urban edge
decisions. The SDF is guided by four overarching ideas; to ensure that the City becomes more adaptive and
resilient to change, to manage expansion, to conserve natural resources and that the City is arranged around
vibrant development corridors.
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Integrated District Spatial Development Plans (SDPs) and Environmental Management Frameworks (EMFs)
are currently being prepared for Cape Town‟s eight functional planning districts, in line with, and informed by,
the citywide SDF. These plans will replace outdated regional plans, and are due for completion by the end of
2010 with approval in terms of the Land Use Planning Ordinance (LUPO) following soon thereafter. On
completion, the citywide SDF and the district plans will inform the preparation of the annual IDP review and the
development of new IDPs.
The figure below provides a map of the City‟s proposed planning districts, whilst a demographic overview of the
eight planning districts and the draft Future Cape Town document can be seen in Annexures D and E to this
document.
Principles Informing the City’s Spatial Development Framework
The concept for Cape Town‟s future spatial development within its metropolitan boundaries has been
developed in response to existing challenges and new dynamics. It aims to create the basis for sustainable,
long-term urban growth and development, using a robust approach that fairly includes all the city‟s residents.
The principles informing the spatial framework are based on the idea that Cape Town should work better for its
citizens while simultaneously acknowledging its inevitable growth as more people make the city their home and
Cape Town seeks to attract visitors and investors. Behind this lies the realisation that we need to protect and
improve the existing natural and urban environment that makes the city a unique and desirable place to live,
work and invest in. It is also critical to take the economic, service and social value of the region‟s natural
resources into account.
Some of the key principles of the spatial framework are based on good city planning and management
practice, and are as follows:
 Public good should prevail over private good.
 The city should work in harmony with nature by reducing its ecological footprint, and changing
unsustainable resource-use patterns.
 Urban efficiency should be improved through the efficient and effective use of urban and natural
resources.
 Access to the city's resources, opportunities, amenities and heritage should be maximised.
 Spatial and social imbalances should be redressed.
 High-quality living environments should be created across the city.
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The spatial framework will, amongst other things, propose the following five spatial strategies to guide the longterm development and growth of metropolitan Cape Town:
1.
Enhance the value of the natural and rural environment and green spaces for the people of Cape
Town
For social, economic and environmental reasons it is critical that Cape Town‟s valuable natural
resources and green spaces are defined, protected, enhanced and that access to them is improved. The
sustainability of these natural resources also depends on the protection and enhancement of natural
ecosystems.
2.
Establish an integrated grid based movement system
Cape Town must have a movement system that works for all and provides access to the city‟s resources
and amenities. The movement system connects people and it connects people with opportunities. Its
infrastructural components (pedestrian routes, bicycle lanes, roads and rail) and their patterns of
interconnection have a profound impact on spatial patterns and accessibility and hence on economic
and social opportunities.
3.
Consolidate and intensify development on the accessibility grid
The City should ensure that Cape Town‟s growth and land management strategies and policies enhance
its position in the global and regional economy. Economic, social and higher intensity development
should be steered to the locations which offer the greatest opportunity to the entrepreneur and have the
highest positive impact on peoples‟ quality of life, especially that of the poor. These locations are on the
accessibility grid.
4.
Direct urban growth and promote compact, integrated development
A compact form of development with settlement growth directed towards areas suitable for development
and away from important resource areas and hazards will be actively pursued. The future spatial
development of Cape Town also needs to be informed by the infrastructure capacity and maintenance
challenges facing it.
5.
Develop more great people places
What makes Cape Town special and unique and, more importantly, what will continue to give it an edge
as an attractive place to live in and visit, in the decades ahead, is its high quality destination places.
Some of the destination places are of cultural and heritage value e.g. Robben Island and Groot
Constantia, others capitalise on the city‟s natural assets e.g. Kirstenbosch and Cape Point whilst others
are attractive public places where people can be and see people e.g. the V & A Waterfront and Sea
Point Promenade. These destinations need to be consolidated into a citywide network of destination
places and access to them needs to be improved.
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The following figure gives a spatial depiction of major infrastructure initiatives that the City has planned for the next five
years.
Five-year spatial development
Future investment and settlement should be linked to economic drivers and opportunities. Individual business
decisions and private investment cannot be dictated to by a public sector plan. However, concentrating public
investment on infrastructure, especially transport systems, proactive land management and related
infrastructure, will provide a level of certainty and direction to such investors.
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Section 4
THE STRATEGIC FOCUS AREAS OF THE IDP
The figure below illustrates how the IDP Strategic Focus Areas have been unpacked into strategic responses,
objectives and programmes for budgeting and operational implementation.
The IDP in action
This diagram explains how corporate strategy is cascaded towards the lower levels of the organisation, and
how it influences and shapes the operating and capital budgets of the various directorates and departments
within the City.
The City‟s visionary framework is rolled out into objectives, key performance indicators (KPIs) and targets for
implementation. These are then broken down into Service Delivery and Budget Implementation Plans
(SDBIPs) that reflect the detailed projects. Each of these projects is allocated budgetary and other resources.
The IDP also informs the City‟s performance management system, as the KPIs are monitored and must be
reported on every quarter.
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Strategic Focus Area 1
Shared Economic Growth and Development
The revised City Economic Development Strategy (EDS) has five strategic thrusts aimed at making the City
internationally competitive and innovative. Whilst infrastructure led economic growth remains the over-arching
objective, the strategy also calls for a balance of perspective and policy interventions in order to address the
socio-economic challenges the city faces as well as the growing economic inequality and the social disconnect
between its various communities. The issue of poverty reduction need to be elevated to a strategic level so that
we indeed have a City that works for all.
As most infrastructure budgets relating to the 2010 FIFA World Cup have now been spent, the City is faced
with the challenge to leverage the facilities delivered in order to generate revenue. Essential to this is the need
to have a multi-purpose strategy for Green Point stadium while recognising that the real benefit of the World
Cup should be the legacy it leaves in terms of improved public transport infrastructure, and its positioning of
Cape Town as a tourist destination and a viable option for future international sporting events.
As the local economy recovers from the recession, significant policy challenges have developed as to
industries in distress can be assisted and what the drivers of sustained recovery could be. Similarly, the rate of
economic recovery in various sectors will vary as the impact of the recession will have been different across
sectors. The knowledge economy is likely to become even more important as a significant number of highly
skilled people choose to live in Cape Town thanks to the combination of lifestyle choices and learning and
innovation opportunities it offers. This trend should be fostered and encouraged as part of the re-positioning of
Cape Town as the design and service hub. The importance of information technology as part of this repositioning should not be underestimated.
A closer look at Cape Town’s economic development status
Investor interest
Despite the recessionary environment, the City has managed to successfully leverage land for development
purposes. In 2009, the City of Cape Town awarded a R3 billion tender to establish retail, business, residential,
hotel and conference facilities on a 11.5 ha property in the Bellville Velodrome precinct. Approximately R800
million is estimated to accrue to the City in rates and service charges, while approximately 26 000 direct and
indirect jobs will be created by this development.
The city has also enjoyed substantial investor interest, both internationally and locally, in renewable energy
projects such as solar farms, solar panel production facilities, solar water heater manufacturing, etc. It is
imperative that this interest is converted into actual investment through support packages and incentives from
the City.
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Building on our Partnerships
The formation of the Central City Improvement District (CCID) in 2000 saw the realisation of the vision of
„downtown‟ city area that could serve as a place for Capetonians to live, work, and play in a safe and secure
environment. A recent survey conducted the Cape Town Partnership amongst retailers, revealed that 84% of
retailers felt that they had made a good investment by opening their business in the Central City, and 92%
were confident that they would still be in business by the time the World Cup starts in July 2010. Cape Town
Central City has been recognised by the International Downtown Association (IDA) for their good work as a
Downtown for the month of July 2009.
The Cape Town Barcelona City Partnership centres on promoting the City as an innovation SMME and
Knowledge Economy hub. Since Barcelona and Cape Town share similar economic features, the shared
learning and information exchanges have resulted in a future innovation project.
The recent Cape Silicon initiative presents a drive for broader functional region to be knowledge and
information centre. This is a key milestone project, which will make the broader city region more internationally
competitive in terms of skills migration, export of intellectual capital, etc.
The City is engaged in talks aimed at establishing ties with Tsinghua University in China with the aim of
developing a Worldclass Innovation Village in Cape Town. In a broader context, this partnership will be an
important linkage in terms of stimulating mutually beneficial business relations.
Wesgro continues to play a leading role in facilitating investments in Cape Town. A 2010 Investment Strategy
has been developed and certain actions prioritised to enhance the Cape Town business brand and increase
the perceptions of the city as premier investment destination.
Policy initiatives of the City of Cape Town
To get a firm theoretical and empirical basis for determining the City‟s competitive advantages, an extensive
Competitiveness Study has been initiated, the focus of which will cover core themes around governance,
efficiency, small business development, institutions, etc.
Key aspects coming out of this study, which will inform planning for the economic future of Cape Town include:

Promoting and developing a low carbon economy.

Strategic use of city land inventory to unlock investment and development opportunities with regards to
densification and mixed use developments in close proximity to the inner city.

Proactive economic spatial planning to cope with in-migration.

An investment agenda that prioritises investment into informal township areas.

Incorporating Local Area Economic Development (LAED) action plans into District Spatial Plans.
Financial Sustainability
36
The City has been under pressure due to increasing wage bills, poor debt collection ratios and the inability of
its customers to pay for services. In addition, the timing of budget cutbacks in conjunction with service delivery
protests in some communities was unfortunate given the need to improve and increase services in underprivileged areas. According to economists, the proposed 35% to 45% electricity tariff increase will also create a
knock on effect that would cause inflationary pressures to continue for consumers for a number of years.
Obviously, this will impact on the income collection of the City as well, and there is a need to establish other,
sustainable revenue streams.
A number of opportunities do, however, exist for the City in the years ahead. These include:

Addressing electricity efficiency concerns by stimulating the market for the production of solar water
heaters - particularly for fitting to low cost housing.

Job creation through stimulating supply and demand.

Investment into renewable energy.

Developing clean industries as part of a broader sectoral programme development intervention.

The 2010 Soccer World Cup presents key opportunities to leverage Cape Town as a premier business,
investment and leisure destination by forging a distinctive Cape Town business brand.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 1A: CREATE AN ENABLING ENVIRONMENT FOR THE ECONOMY TO GROW AND BECOME
GLOBALLY COMPETITIVE
Promote the use of Local Economic Development (LED) tools to grow SMMEs and develop enterprises
Objective 1i - Increase number of direct job opportunities
Skills development will be prioritised - based on the needs and opportunities of the local economy - to support
continued economic growth and access to opportunities. Sector support bodies have their own skills
development programmes, while the City has a skills development strategy that supports the Economic
Development Strategy.
Programmes
Local Economic Development (LED) Programme
The aims of the LED programme are to:

Develop and implement interventions in response to area specific challenges in the short-, mediumand long term.

Support the establishment of business support infrastructure by leveraging available resources.
37

Support and accelerate alternative livelihood strategies that are compatible with the need for
sustainability.

Support small businesses through economic participation, entrepreneurship and building small
business networks to sustain economic development initiatives.
Urban Agriculture Programme
The City‟s Urban Agriculture Policy recognises the important role that urban agriculture can play in terms of
food security, economic empowerment, social inclusion, and a sustainable natural environment. The
sustainable development of survival food gardens and emerging commercial urban farmers is promoted.
An emphasis is placed on promoting fast-growing, high-yield vegetables, and niche produce, such as herbs,
traditional medicine plants and organic food, by improving access to finance for emerging SMMEs. The policy
also provides for a strategy to support livestock keepers in the city, and this includes the development of
community kraals and commonages outside the residential areas. The City plays a proactive role with regard to
land reform for agricultural development (LRAD), by amongst other things, providing secretarial support to the
District Assessment Committee for the Cape Town region.
Municipal service providers
During the year, the City appointed a project team to establish a framework to track its service providers‟
performance, as required by thethe Municipal Finance Management Act (MFMA), the Municipal Systems Act
(MSA) and performance regulations. This included setting key performance indicators (KPIs), targets,
measurements and reporting standards, as well as the revision of strategies and objectives.
Business Support Programmes
The primary aims of the City‟s businesss support Programmes are to:
• Develop and grow SMME opportunities through partnerships, the 2010 event, and
supply chain management.
• Encourage SMME development through SMME-specific projects.
• Target the growth of SMMEs by supporting The Business Place eKapa, the
business support voucher programme, and job centres
• Present franchise and procurement opportunities through Small Business Week and other events.
SMME programmes
The City will prioritise the facilitation of SMMEs through partnerships with The Business Place, Small
Enterprise Development Agency (SEDA), and Provincial Government via the RED (Real Enterprise
38
Development) DOOR. These partnerships will be complemented by other initiatives, including the development
of relations with key cities throughout South Africa and the rest of the world.
Sustainable public infrastructure investment in local areas will assist in making opportunities more accessible.
These opportunities include:

maximising low-skilled, short-term job creation through the EPWP and the Economic
and Human Development (EHD) Department‟s capital expenditure programme;

a special focus on SMME business development and support, especially with regard to
the 2010 FIFA World Cup™;

optimal utilisation of Council-owned immovable property and other assets to maximise
social, economic and environmental benefit;

improved access to Council procurement opportunities; and

ongoing economic research and information.
Another important focus is unlocking economic growth by prioritising skills requirements in the different sectors.
The focus will be on developing skills to match sector needs, fostering entrepreneurship, enhancing
employment readiness, and life skills training. Specific sectors that will be prioritised include artisan training
and IT skills.
Objective 1ii - Increase direct investment into the local economy
A number of challenges exist in achieving this objective. These include:

How to facilitate labour absorptive economic growth and improve the quality of jobs provided.

How to address the issue of declining industries such as textiles and clothing.

How to improve entrepreneurial education of informal traders in township economies.

How to provide a safe and secure environment that would be attractive to potential investors.
Infrastructure led growth continues to be the major imperative for enhancing city economic growth objectives.
Whilst recognising the financial stimulus of capital expenditure toward stadiums and various other
improvements, there are negative effects to the finalisation of the World Cup infrastructure, the most obvious of
which will be the scaling down of jobs in the construction industry. In this regard, the Cape Town Partnership
has played a vital role in maintaining investor interest in developments around the City centre.
It is important that Cape Town develops a decisive business brand based on real competitive advantages.
Hence, from an investment promotion perspective, the following interventions will create this enabling
environment:

Commissioning of a Global Competitiveness Study.

Development of Cape Town Activa - our fledgling innovation centre development.
39

Forming partnerships with Accelerate Cape Town in developing a business brand for City.

Promoting SMME participation in local economy via Supply Chain Management (SCM) opportunities
and upgrading the skills of entrepreneurs via a voucher program and skills based training through FET
institutions to improve competitiveness, productivity and sector-based skills.
Development Facilitation Programme
Despite the global economic conditions and the overall drop in local and foreign direct investments, the
Economic Development Forum (EDF) programme will continue to promote investment, job creation
and development in the priority sectors through sector specific interventions. EDF operates consciously
and proactively to integrate the 1
st
and 2
nd
economies (through sector bodies and Wesgro) by
focussing on, amongst others, the following interventions:
o
The promotion of enterprise development through the Cape Craft & Design Institute‟s market
access program (trade facilitation). The strategic objectives of the programme are to facilitate
long-term enterprise sustainability through SMME sales increases, access to new and existing
markets and other trade opportunities, and improved business capacity through individual
development and training.
o
The Cape Information and Technology Initiative (CITI) focuses on improving SMMEs through
the implementation of interventions aimed at growing the size and number of SMMEs in the
ICT industry. The EDF supports CITI programs that a target women in ICT in order to provide
them with a support network and the knowledge and tools they require. CITI also supports
SMMEs in the early growth stage by providing a facilitated mentoring forum with the objective
of increasing the number of successful ICT businesses in Cape Town.
o
Wesgro offers Export Development Programs (EDP) to SMMEs. The EDP program helps to
equip these SMMEs with the knowledge and tools to tackle the export markets.
o
The Cape Town Boatbuilding & Technology Initiative (CTBi) runs a jumpstart programme
aimed at empowering entrepreneurs (SMMEs) who offer a product or service relevant to the
boatbuilding industry. The jumpstart programme assists, mentors and coaches new entrants to
the Boating Industry. The program also creates exposure for enterprises at Cape Town
International Boat Show.
o
Calling the Cape promotes enterprise development in the business processing and
outsourcing industry by offering SMME capacity building programs with the aim of assisting
these companies‟ capacity in marketing and financial strategies, effective communication and
branding.
40
o
The CFC has been providing corporate governance and administrative support to SMMEs in
order to facilitate the development of the film industry. Their enterprise development program
also assists SMMEs with the development of business plans and mentoring.
The CFC has been working in close partnership with Animation South Africa and industry
partners on an Animation Industry Development Initiative to develop key scarce animation
talent, skills, and to contribute to the transformation of the industry. This initiative is aimed at
the existing, urgent and future industry skills demands, with a view to supplying South African
animation production companies with an immediate and ongoing skilled pool of animators.
Area Targeting
Local area economic development forms the basis of various interventions in the informal economy
and specific communities. The challenge is to timeously incorporate timeously some of the
recommendations of action plans into district spatial plans. Ideally these action plans should inform
new economic nodal development corridors and spatially map the future service delivery concentration
areas.
Business Development Programme
The programme is driven by the City‟s Business Support Policy and focuses on influencing policy,
regulatory environment, access to business information, business development services and
procurement support.
SMME participation and skills development in the local economy is encouraged via:
o
the Business Support Voucher program, support for the Business Place Ikapa, and access to
information programmes, amongst others.
o
Support for various Sector Purpose Vehicles initiatives such as the Animation Training
programme by the Cape Film Commission.
o
Departmental support for events such as the MIT Global Startup Workshop held in Cape Town
in March 2009 and the City‟s link to Global Entrepreneurship Week in November 2009 through
its own Small Business Week.
o
The City‟s linkages and relationships with the Small Enterprise Development Agency(SEDA),
Enterprise Development of Provincial Government Western Cape and various other role
players in the Business Support environment.
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Objective 1iii - Increase percentage of visitors to Cape Town
Tourism is a key driver of the social and economic development of Cape Town. The value of attracting key
players to conferences and exhibitions held in the city is not limited to the direct benefits of visitor expenditure,
but also has an impact on the quality of life of residents, the world‟s awareness and image of the city, decisions
relating to inward investment across the economy, and the export of goods and services.
The City has a vision that by 2020:

Cape Town will be celebrated as one of the top ten iconic tourism destinations in the world;

Responsible tourism development will be a driving factor in establishing Cape Town as one of the world‟s
greatest cities to visit, live, work and invest in;

The tourism industry will be a real driver in the economic and social transformation of Cape Town, and its
role will be fully recognised as such by public and private sectors alike; and

Through combining and using exceptional design and architectural talent as well as the vibrant creative
economy, the tourism industry and the public sector together will play a key role in making sure that Cape
Town is known and recognised globally as the creative centre of Africa.

Through a continuous process of strengthening the City‟s law enforcement capacity by means of the
introduction of specialized training initiatives, expansion of resources and optimum utilization of available
technology, ensure that Cape Town is known as the safest City in Africa.
To achieve this vision, the City has a strategic target to double the value of tourism to Cape Town‟s economy
by 2020. This vision and target will be pursued via a number of partnerships aimed at developing, managing
and promoting the destination, as well as serving the needs of visitors. These partner organisations include:

Cape Town Tourism (the City‟s principal agency for destination marketing, and visitor and industry
services)

Cape Town Routes Unlimited (the provincial destination marketing organisation (DMO)

Cape Town Partnership

Cape Town International Convention Centre (CTICC)

The Cape Film Commission

The tourism sector
- represented by the Federated Hospitality Association of South Africa
(FEDHASA)

The Southern Africa Tourism Services Association (SATSA)

The Southern African Association for the Conference Industry (SAACI).
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About the Cape Town Tourism (CTT) partnership
Cape Town Tourism (CTT) is a unique tourism agency in that it constituted as a voluntary Industry Association
with more than 2 700 members, and recognised as one of the largest and most representative tourism industry
associations in the world. This structure means that CTT works with the private sector while remaining in a
dynamic partnership with local and provincial government - enabling them to deliver on visitor expectations and
show a real return on investment to stakeholders.
An important objective of the partnership with CTT is to reduce seasonality so as to ensure year-round,
permanent employment, increased benefit to the economy, enhanced profitability, and maximum return on
public and private sector investment.
The City will support, and endeavour to implement the principles of responsible tourism set out in the Cape
Town Declaration. Given Cape Town‟s distance from volume growth markets in Southern Africa, tourism
growth should be driven by value, rather than volume.
The 2010 FIFA World Cup™ must also not be seen as an end in itself, but rather a springboard for long-term
growth and benefits. Ensuring sustainability will require a comprehensive and long-term approach. Therefore,
CTT will now focus on both readiness for, as well as the long-term benefits from 2010, ensuring that all
programmes are aligned with the host city‟s 2010 business and marketing plan.
The City‟s marketing efforts are intended to position Cape Town domestically and internationally as a yearround destination of choice for leisure, business and events visitors. It thereby aims to achieve exceptional
tourism growth in partnership with the private sector and other tourism stakeholders.
Annual tourism objectives have been set for the next five years, with targets relating to increased visitor
numbers and expenditure and improved regional visitor spread.
With regard to international markets, the aims are as follows:

To increase overall visitor numbers by 2% each year,

To increase the overall number of nights spent by visitors in the Western Cape by 2% each year, and

To increase visitor numbers during the off-peak period (May – September) by 2% each year.
With regard to the domestic market, the aims are as follows:

To increase peak-season trip numbers in line with national growth,

To increase the overall number of nights spent by visitors in Cape Town by 2% each year, and

To increase the number of trips during off-peak period (May – September) by 2% each year.
The strategies supporting the City‟s tourism development goals can be traced back to Council‟s strategic
themes to realise its commitment to economic development and job creation.
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Programmes
Local Tourism Programme
The Constitution explicitly defines „local tourism‟ as a function of local authorities within the context of
developmental local government. It is interpreted as „developmental tourism at a local level‟ and, as such,
constitutes the process by which partners from the public, business, labour and civic sectors work together to
identify, utilise and harness location-specific resources (including people, buildings and the environment) to
grow and transform the economy in specific local areas. The aim of developmental tourism is to increase local
incomes, and to create job opportunities by enhancing the community‟s ability to create enterprises.
Tourism remains a key economic opportunity for Cape Town, but the City cannot continue to rely on having
great city scenery and closely located environmental attractions. Local tourism will need to build on, and
improve, service infrastructure for visitors, and support the promotion and conservation of the cultural
landscape - ranging from music and theatre, to public spaces and attractive urban landscapes. Public spaces
where visitors can interact with locals, such as urban markets, will be promoted.
Destination Development Programme
The City has combined the key destination development elements of tourism supply, demand and market
knowledge to develop its destination development programme called Destination Cape Town. Strategic
research and destination planning guide the fine balance between supply and demand, which is in turn based
on pertinent market-related information. The iconic City campaign will focus on events marketing that positions
Cape Town appropriately as the city of great events in terms of attracting year-round tourists. The City will
particularly encourage events that support Cape Town‟s world-class image. In addition, certain initiatives will
be explored to ensure that the City is able to leverage its infrastructure and events services to gain economic
opportunities well beyond 2010. Supplementing this objective is the engagement with South African Airways
(SAA) and National Government to promote more direct flights to Cape Town during peak holiday seasons.
Objective 1iv - Improve approval time for building plans, land use and planning applications to well
within the statutory time frames
Business process improvement initiatives are currently underway in key departments to reduce the processing
time of the planning approvals and property transactions that are needed for economic development. Other
planned initiatives include fast-tracking the completion and implementation of the Cost of Doing Business
project to improve service delivery, manage administrative costs, and promote investment. In addition, a review
of city processes will be initiated to determine key constraints affecting small business development and
promotion.
Objective 1v - Develop new, and strengthen existing partnerships
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As part of the City‟s ongoing partnership with a range of institutions, more attention will be paid to the
institutional framework that enables the delivery of economic opportunities. The City will monitor and manage
the mandate, service and delivery of strategic partners such as sector bodies that receive funding for sectoral
development programmes. Given the context of budgetary cutbacks, short-term funding allocations will need to
be reduced, hence the need for improved efficiency and financial sustainability in the longer term.
Partnerships between the City and its stakeholders that will enhance Cape Town‟s global competitiveness
include:

The City of Barcelona and City of Cape Town have developed a formal MOA on the development of a
Cape Town ACTIVA innovation and SMME cluster concept.

The Transnet/NPA-City bilateral related to the Cruise Liner strategy and broader development around
the Culemborg site continues to be productive engagement

The Sector bodies and Cape Town Partnership will continue to play an enabling role in stimulating the
local economy. The CTP has recently completed its 10-year review which conveyed the significant
achievements in turning around the fortunes of the inner city.
Municipal Entities
The City currently has two municipal entities which were previously established, and by virtue of a change in
legislation, became classified as municipal entities:
The Cape Town Convention Centre Company (Pty) Ltd (Convenco)
Convenco was established to develop and operate the world-class Cape Town International Convention Centre
(CTICC). Cape Town has already captured 65% of the local convention market, and could expand even
further, as the country as a whole has only captured 1.1% of the international market at this stage. The City
has therefore made the expansion of this centre a strategic priority.
In the five years of its existence, CTICC has delivered on, and exceeded, all expectations in terms of its
contribution to the economy of South Africa. During the 2008/09 financial year, 1 166 141 delegate, visitor and
tourist days were recorded and the CTICC contributed R2.7bn to the national GDP. Contribution to GDP is
expected to increase to R3.38bn in 2009/10 and then to R5.67bn by 2013.
Since opening, the cumulative macroeconomic benefits generated by CTICC to the national economy amount
to more than R9.5bn, and the centre expects to contribute a further R21.5bn by 2013. To date, the contribution
to the Western Cape economy alone stands at R3.25bn.
Khayelitsha Community Trust (KCT).
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The KCT was established to facilitate the development of the Khayelitsha Business District (KBD) through the
development of commercial, residential and communal facilities. The Trust has a strong social and
empowerment objective, and hopes to achieve an increased sense of ownership through raising equity in the
local community. The City provides funding for the KCT, based on an approved three-year business plan. The
KCT‟s key objectives are as follows:
 Complying with corporate governance and legislative requirements.
 Establishing an effective working environment.
 Facilitating the upgrade of bulk electricity supply within Khayelitsha.
 Facilitating the development of affordable housing within the KBD.
 Updating the development plan and operational decision- making framework for the KBD.
 Implementing an updated development plan (infrastructural development, additional commercial and
business activities, and municipal offices).
 Initiating integrated KBD management.
 Initiating an empowerment plan and programme.
 Improving communication with relevant stakeholders.
 Securing alternative sources of funding.
Business Development Programme
The programme aims to proactively support the formal business environment, conduct meetings with organised
business, and resolve constraints impacting on business. An asset management methodology for property
management is being implemented and the Property Management Department will be introducing an asset
management strategy to ensure optimal utilisation of the City‟s immovable property assets. This will be
achieved by the introduction of a proactive property portfolio performance management system.
The strategy is to ensure that the City‟s immovable property, required for municipal purposes, is utilised
effectively and optimally, while properties not needed directly by Council will be used to meet the City‟s
strategic economic and social objectives. The latter will be achieved through partnerships with the private
and/or public sector, the granting of lease, development and other rights, or the disposal of such property
assets.
Objective 1vi - Prioritise skills development based on the needs of the local economy
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Higher learning institutions (HLIs) have a vital role to play in enhancing the City‟s delivery mandate. As such,
the City provides annual bursaries for economics and business study areas, which will boost future supply of
potential intakes relating to the economic sciences.
There are two key challenges facing the City in terms of skills development.
1. The inability to retain scarce skills in financial services, and black professionals - this exporting of skills
is likely to continue resulting in acute demand in financial and business services.
2. The in-migration of semi skilled people from peri-urban and neighbouring provinces in search of
employment opportunities - this further compounds the employment challenges. and competition for
resources.
Programmes and Projects
HLI Programme
The City will continue to engage with tertiary institutions through the Cape Higher Education Consortium
(CHEC) to create a partnership aimed at establishing Cape Town as a global research and development hub.
Universities will be engaged around innovation and new technology projects with a „green‟ focus.
Based on key deliverables, a formal relationship has been established with the following institutions:
• University of Cape Town (UCT)
• University of the Western Cape (UWC)
• University of Stellenbosch (US)
• Cape Peninsula University of Technology (CPUT).
The following working groups were established to develop and commission projects:
• Human Capital Development
• Infrastructure Development
• Information and Communication Technology
Other areas of collaboration, such as economic development, promotion of innovation, and campus safety and
security, will also be investigated for implementation over the next three years.
Students in Free Enterprise (SIFE) Project
This is an international organisation that strives to create global partnerships between business and higher
education, to prepare university students to be entrepreneurs. The students are challenged to implement
projects that will transform the lives of people facing real social and economic problems. The SIFE Western
Cape region encourages its students to link their projects with the municipal IDPs. This results in continuous
engagement and partnerships between the City, SIFE, business, learning institutions and students. Two SIFE
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competitions are held annually. One is the regional competition, in which various teams within a particular
country compete, and the other the SIFE World Cup, in which each country‟s top team competes against other
countries.
Africa Cities Research Project
This project, which is co-funded by the City, is a research programme designed to meet the needs of cities
confronted with serious urban management challenges, ranging from housing, asset management, transport
and the environment, to service delivery, water, energy and resource management. While the responsibility for
education is not that of local government, the City will expand its activities to early childhood development,
infrastructure, and the training of educators and facilitators. It will also seek ways through its normal operations
to provide training to equip people for real jobs in the economy, e.g. through the training of apprentices and
debt collectors.
Universities and research institutes can play an important role in understanding the economic geography of
informal second economy areas. There has been a broader private sector focus on knowledge and the
development of an innovation hub of excellence. This will attract prime skills to new areas of improved
knowledge management.
Objective 1vii - Develop the city’s creativity and knowledge and innovation-based industry
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Programmes
Skills development programmes
 Skills development programmes in strategic sectors - Support skills development programmes in ICT,
business process outsourcing (BPO), film, oil and gas artisans.
 Skills development programmes aligned with 2010 - Develop skills development programmes for 2010 in
the services, hospitality and film industries.
Other strategic initiatives aimed at economic development
Connect’d Cape Town
This recently-launched, private sector led initiative focuses on specialised investor support services for
international companies looking for opportunities to do business in Cape Town. It aims to leverage business
spin-offs from participating international corporate sponsors of the 2010 FIFA World Cup and beyond,
premised on the International Business Club concept. Connect‟d Cape Town aims to showcase local skills and
expertise, and to attract and facilitate significant investment and business opportunities to the Cape Town
region
Investment by other spheres of government and state owned enterprises
Cape Town Airport upgrade
Cape Town International Airport is South Africa‟s second-largest airport, and a prime tourism gateway that
serves millions of tourists. „Terminal 2010‟ has been completed at a cost of R1 billion. The new international
departures terminal is capable of processing up to 1 300 passengers in peak hours, or a million passengers a
year – three times the capacity of the old terminal. It now boasts a total area of 21 000m2, including 2 360 m2
of retail space.
Upcoming airport projects include:
• a new terminal building (R900 million)
• a new retail mall (R60 million)
• an elevated road
• additional passenger parking
• airside parking
City rail network upgrade
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Metrorail carriage upgrades are in progress and will be completed in time for the 2010 World Cup. The SARCC
has also planned a number of upgrades to the City‟s train stations and railways, including:
• the Cape Town Station upgrade
• the southern suburbs railway line
• the Cape Flats railway line
• the Khayelitsha railway line
• the Mitchells Plain railway line
• the Cape Town–Monte Vista–Kraaifontein railway line
• the Cape Town, Athlone, Heideveld and Langa Station upgrades
Strategic Focus Area 2
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SUSTAINABLE INFRASTRUCTURE AND SERVICES
The City of Cape Town is committed to enabling and encouraging Cape Town‟s economic growth and
development. One of the ways it achieves this is by investing in the maintenance and expansion of essential
utilities and services like water and sanitation, electricity, solid waste removal, roads and stormwater
infrastructure. Through this type of investment, supported by effective information technology and
communication, Cape Town will be in a position to enjoy sustainable economic growth and, in time, see a
lowering of poverty levels across the city.
It is the aim of the City of Cape Town to ensure that all the people of the city receive adequate basic services,
while implementing effective plans and projects to reduce growth in demand for water, electricity and landfill
space. In addition, the City is committed to protecting and preserving its natural environments and making sure
that all people enjoy access to them in a sustainable and mutually beneficial way.
Cape Town‟s urban infrastructure, and the services relating to that infrastructure, will be maintained and
developed in a way that encourages economic development, while meeting the needs of all Capetonians. To
this end, in the coming years, the City will focus especially on investing in bulk services delivery, including:

providing effective and reliable basic services

maintaining the City‟s assets (bulk infrastructure and other)

upgrading existing infrastructure or investing in, new infrastructure; and

developing strategies to limit the expansion of the city while making the best use of existing
infrastructure.
The delivery of sustainable services relies on the following key infrastructure components (as mandated by the
Constitution):

water, sanitation and wastewater treatment services;

solid waste services;

electricity services; and

roads and stormwater services
A closer look at Cape Town’s current services and infrastructure
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A small percentage of the city‟s increasing population does not have access to certain basic services. For the
most part, these citizens reside in informal settlements where sanitation and electricity backlogs are a constant
challenge given the growth in the Cape Metro area. Such increasing strain on infrastructure is impairing
sustainable service delivery, social development and, ultimately, economic growth in Cape Town, and has the
potential to contributing to environmental decay in the long term. The unfortunate reality is that budgetary and
resources constraints make it impossible for City of Cape Town to meet all the city‟s infrastructure
requirements simultaneously.
In addition, there is a dire need to address the issues of ageing infrastructure and the growing backlogs that
are resulting from funding limitations. Effective infrastructure asset management is absolutely dependent on
sufficient budget and adequate human resources.
With this in mind, a number of national and local challenges have faced the City in terms of service delivery
and infrastructure maintenance in recent years, including:

a scarcity of engineering skills and loss of skills in the organisation;

the negative effect of the economic slowdown on revenue collection; and

increasing operating and capital costs in the form of fuel and raw material price increases.

a lack of access to land on which to provide the required infrastructure for basic service delivery;

densities within informal settlements; and

ongoing vandalism and theft of municipal infrastructure and equipment.
Summary of Annual Report 2008/09 deliverables
The City is committed to making sure all Capetonians have access to basic services, conserving our city‟s
natural resources, and managing its infrastructure and resources well.
All the formal households in the City have access to basic levels of sanitation, water, electricity and solid waste
removal. Some challenges still remain in the informal settlements. Last year saw a 27% reduction in water
demand and 84% compliance with pollution standards for swimming beaches and inland recreational water
bodies.
The City also received the Western Cape National Productivity Public Sector Award for 2009 as well as four
awards for drinking water quality, four for waste water treatment, and the National Water Sector Award. Other
awards included: The Western Cape National Productivity Public Sector Award for 2009 for City of Cape
Town‟s Electrical Support Services (ESS) division, the National Gold Award – Asset Care Centre, and the
National Top Award – Green Fleet, for 2009
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In terms of basic services there is now one toilet for every 4.7 informal households, one tap for every 10.8
informal households and 5 199 extra subsidised electricity connections installed in informal areas across Cape
Town. Waste services include weekly door-to-door collections in formal areas and integrated cleaning and
weekly door-to-door bagged refuse collection in informal areas to 100% of known households.
Establishing Public Needs
Notwithstanding the remarkable service delivery achievements of the City in recent years, the 2009 IDP Public
Participation Outreach Programme saw residents communicating their needs with regards to the range of
services supplied by the City as follows:
Electricity
The results of the programme showed that residents were generally happy with costs, provision of electricity
and maintenance of the electrical system, with scores all in excess of 2.5 out of a total of 5. Residents in
informal areas expressed a need to have electricity supplied to their dwellings, either on a temporary or
permanent basis. There are, however, some areas of the city where achieving this is a challenge. This is
particularly true of areas in which the City is currently attempting to relocate informal settlements to better living
spaces, or where there is simply not enough space to provide the service. A result of this inability to supply
electricity is that illegal connections become common. Residents have mixed views regarding such illegal
connections, but many agree that it is necessary for Eskom, the City and the communities to work together to
find solutions to the problems surrounding electricity provision in informal areas.
Water supply
While water supply is currently an area of strength for the City of Cape Town in terms of service delivery, water
and electricity meter readings remain a contentious issue. The City, through its call centre and various service
points, dealt with approximately 34 000 queries relating to meter reading in the 08/9 financial year.
Unresolved bills are another common theme and regularly cause for heated debate at IDP and Mayoral
roadshows. It is possible that the process of meter reading and the method by which utility costs are calculated
are poorly understood by the majority of the population. Many residents have limited previous experience in
terms of paying rates and there appear to be lingering suspicions around the trustworthiness of government
departments in their billing processes. A further challenge is the culture of non-payment for government
services that still pervades many areas of the city. This culture needs to be addressed and changed in order to
ensure the long-term financial sustainability of the City.
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Street lighting
The surveys reveal that Capetonians are generally happy with the amount of street lighting in the city, with the
exception of certain of the poorer areas and informal settlements. Street lighting is important security issue for
residents as a lack of lighting can result in increased criminal activities. A lack of lighting can generally be
attributed to insufficient installations of street lights or to lingering maintenance issues. Many complaints
regarding bulbs not being replaced were received, which again emphasises the importance of such
maintenance. Residents also complained that street lights are being left on during the day - thereby wasting
valuable electricity. This issue generated some 30 000 notifications on the C3 complaint tracking system.
Refuse removal
In 2008/09, the City‟s Solid Waste Department experienced large volumes of extra work, over and above
normal operations, in response to 30 000 requests. It appears that residents are very satisfied with the basic
refuse removal services they receive. However, recycling was identified as a relative weakness within the city,
scoring only 2.5 as opposed to 3 for most other waste services. Nevertheless, waste services enjoyed some of
the highest scores out of all the City‟s services, making the 2.5 out of 5 score for recycling satisfactory. That
said, recycling is the one intervention that can truly assist the City in improving on its landfill space saving
target. As a result, there are currently seven areas running pilot recycling projects to determine if it is feasible
to increase recycling operations across the city.
Cleanliness
Both of the public participation processes highlighted the importance of street sweeping to residents, especially
in the less wealthy areas of the city. This issue is also closely linked to littering, which is prevalent in such
areas. Bin theft remains a challenge for residents and the City alike, and this will need to be addressed possibly in partnership with law enforcement services.
Illegal dumping
Illegal dumping is an ongoing issue and the residents‟ perception is that it is getting worse. It is, however,
encouraging to note that such illegal dumping activities are frequently reported. Public open spaces, parks and
cemeteries are often abused as dumping sites, compounding the challenges of community services, cleansing
services and law enforcement. Although there is a by-law in place that provides for the issuing of spot fines,
illegal dumping remains a very common occurrence.
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Storm water drains and sewers
For the most part, residents appear happy with regards to these services. Despite 2008/09 being a wet year,
the City‟s winter preparedness initiative minimised the impacts of flooding.
The above feedback from residents of Cape Town has allowed us to identify a number of key issues that need
to be addressed, in addition to the main service delivery focus areas, in the coming financial year. These
include the need to:

reduce the time taken to resolve public service requests;

monitor the street lighting programme and attend to public service requests more promptly;

communicate with residents around its recycling pilot studies, and roll out more recycling programmes;

Intensify user education and awareness programmes, with a targeted communication process to be added
around water meterage and billing; and

explore the use of local community processes and forums to capacitate local communities, in particular
informal settlements.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 2A: PROVIDE UNIVERSAL ACCESS TO BASIC SERVICES
Objective 2i - Increase universal access to sanitation
Various contractors have been appointed to help with of the development of Cape Town‟s sanitation
infrastructure. These partnerships have already enabled the City to exceed the five-year informal settlement
household phased targets set for the 2008/09 year.
A key option for the expansion and improvement of existing services comes in the form of dry sanitation
solutions - particularly since Cape Town is in a water scarce region. The City was the first in the world to pilot
the MobiSan dehydration toilet unit (manufactured and sponsored by the Dutch government) in Pook se Bos,
an informal settlement in Athlone. The unit comprises 13 toilets and 12 separate urinals, and is operated by
two dedicated janitors who are employed by the City. This approach has meant that, since its instillation in May
2009, no vandalism or thefts have been reported, making the dehydration toilet model a perfect option for use
throughout communities in the city.
On a broader scale, the City‟s currently aims to eliminate the sanitation backlog by 2013 by employing
additional manpower resources to accelerate implementation of its various initiatives. Of course, given the
continued growth of the city‟s population, increasing densities, and a lack of available land, it is recognized that
achieving this target will be a challenge.
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Objective 2ii - Increase universal access to water
The City subscribes to „the water ladder‟ concept, as proposed in the Department of Water and Environmental
Affairs (DWEA) Strategic Framework for Water Services, September 2003. While its priority is therefore to
provide an emergency level of service to all households in all settlements, it is also extending the coverage and
density of services offered at a basic level. The City already exceeds the DWAF standard of providing access
to potable water within a 200m radius of dwelling units.
A contractor has been appointed to assist with the rollout of water infrastructure. Bulk water supply, as a
pressurised service, is generally accessible to most informal settlements. The standard access ratio of one tap
to 25 families is relatively low, hence the rapid attainment of targets. In future, remaining pockets of
undersupply will be eradicated, but care needs to be taken not to generate grey water ponding problems.
The City is in the process of installing and piloting the use of GPRS water meter logging equipment to be able
to accurately analyse water consumption in informal settlements.
Objective 2iii - Increase universal access to electricity
The City‟s Electricity Department provides electricity distribution services to approximately 75% of City
customers, with some areas in the eastern and northern parts of the city serviced by Eskom. Electricity service
availability and access backlogs are mainly still a problem in informal settlements, and these are being
addressed by the Electricity Department and Eskom electrification programmes. As approximately half the poor
households in the City fall within Eskom‟s service area, there is ongoing co-operation between the national
power provider and the City to ensure effective planning and provision of electrification programmes.
The electrification plan aligns with the integrated human settlement theme of the City‟s IDP. The development of
new housing developments normally include the provision of electricity infrastructure. In the case of housing
developments that consist of dwellings for which the beneficiaries are eligible for government housing subsidies,
the City provides the electricity supplies at a greatly subsidised rate. The Department of Energy (DOE) partly
funds the electrification projects through external grant funding, with the remainder of the funds being sourced
internally by the Electricity Department. In this way, the City achieves a 100% electrification rate for formal
housing developments.
A backlog in service connections exists in some informal settlements, and there is also an electricity provision
backlog to backyard dwellers in formal areas. Certain informal areas are excluded from the electrification
programme if the dwellings are:
• below the 50-year floodline;
• situated on unsuitable land, e.g. landfill sites;
• in road, rail or power line reserves;
• on private property.
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At this stage, the bulk of the backlog of electrical connections in informal areas is found in the Eskom supply
portion of the Cape metro. Eskom will only electrify housing with funding from the DOE, which until recently
was only allocated to formally proclaimed townships. After a recent change to the DOE policy, Eskom has now
begun electrifying those informal areas that comply with the City‟s electrification policy. The electricity supplier
has set itself a target to complete 3 470 informal connections in 2009/10, 3 519 connections in 2010/2011, and
4 720 connections in 2011/2012.
Objective 2iv - Increase universal access to basic refuse collection services
Cape Town‟s population is growing at an average of around 2% every year. Without effective waste
minimization solutions, the growth in waste as a result of this population growth is projected to be
approximately 7% per year.
Bulk waste management infrastructure requirements, specialised equipment investment needs, and growing
waste volumes are directly linked to population expansion, industrial development and growth in tourism. A
new replacement landfill and a system of multipurpose transfer stations will be established, as the City‟s
existing landfills are fast reaching capacity and will not be able to cope with the increasing waste volumes
expected over the next five years and beyond. The rehabilitation of disused, full landfills and dumps throughout
the city is a statutory requirement in terms of the Municipal Finance Management Act (MFMA) and operating
permit conditions, and is long overdue.
The existing waste collection vehicle fleet has an average age of eight years, and is therefore not deemed
reliable enough to sustain effective and efficient service delivery in the years to come. For this reason, waste
management services are optimised and expanded, and it is recommended that they be balanced by the
introduction of waste minimisation strategies. Waste minimisation that creates sustainability through recycling
will only have true economic potential if it is done in partnership with various key industries and other
stakeholders.
The City‟s Solid Waste Management Department regulates waste management activities at municipal level,
and is one of the providers of waste management services for the Cape Town municipal area. The City‟s
services, together with those offered by external service providers, will to be aligned and transformed to include
waste minimisation in accordance with the National Waste Management Strategy, which is in turn based on
integrated waste management (IWM) principles. This requires services over and above the present
constitutional obligations of municipalities to ensure effective cleansing, collection and disposal services.
IWM in Cape Town is guided by the City‟s policy of the same name, and is executed via a statutory, detailed
IWM plan. The overarching policy objectives are aimed at:

minimising the amount of waste that is currently directed to landfill sites or illegally dumped;

conserving resources and the environment;

ensuring basic waste management services; and

reducing human and environmental health and socio-economic impacts.
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Waste management legal reform
To give effect to sustainable IWM services, and regulate such activities, the City‟s service authority role will in
future be regulated by a new by-law that will be finalised and submitted for Council approval. This will complete
the process of municipal waste management law reform, which became necessary as a result of municipal
restructuring.
Key Strategic Waste Management issues and challenges
In the short term, waste management and the imperative to minimise waste presents the City with the following
issues and challenges:

The continued reduction of Basic Service backlogs (residential waste collection) that are impacted by
unplanned population growth;

The fact that waste generation outstrips population growth by almost 5%;

A solution is needed to service „backyard dwellers‟ on a sustainable basis;

Ensuring that service provision during the FIFA 2010 World Cup has a minimal impact on normal
services;

Upsets in the commercial waste management sector due to current economic conditions that may put
residential service delivery contracts at risk;

Waste management infrastructure creation that is inadequate, raising the risk of health and
environmental degradation;

Capital requirements for the upgrade and replacement of the City‟s compactor fleet to improve
equipment condition, reliability, and availability;

Integration of multiple activities where clustered waste management infrastructure is being developed;

The future replacement or the establishment of additional infrastructure will be hampered by the
inadequate income generated from tariff or rates provisions;

A longer delay in the issuing of a Record of Decision for the establishment of a new landfill to replace
almost full landfills will have major impacts;

Mitigation of landfill gas to reduce climate change and environmental impacts;

External funding is required to reduce the onerous financial implications of implementing various waste
minimisation initiatives per the IWM Plan;

The development of strategic partnerships, both financial and non-financial, with business, industry and
other sectors of society to commission large-scale waste minimisation initiatives;

Attention to detail regarding Conditions of Service for new tenders, and timeous, successful completion
and adjudication of tenders, and the subsequent management of contracts;

Remodeling of tariffs that will make allowance for future recycling incentives;

The finalisation of an organisational structure and the appointment of key staff at all levels - to reduce
skills and capacity shortages;
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
Streamlining of Council HR policies for shift work to allow effective utilisation of staff and infrastructure
where service and private sector needs require this; and

Completion of the Municipal Systems Act S.78 investigation and decisions regarding community
partnerships and public-private partnerships as alternate service mechanisms to aid job creation, local
economic and SMME development, and to alleviate poverty, whilst improving general cleanliness
conditions in the city.
Goals and Objectives of Strategic Waste Management (SWM) programmes
Priorities and objectives are influenced by the strategic issues and challenges listed above. The activity details
contained in the IWM Plan will therefore be updated for the period starting 2010/11. The aim is to ensure longterm sustainability through effective, efficient, economical and affordable waste management service delivery
to the city‟s residents, and to regulate waste management activities across the waste spectrum in the City of
Cape Town.
The strategic programmes, projects and initiatives for waste minimisation and service delivery in the short- to
medium term are adjusted according to the available budget. For the current IDP period, these include the
following key objectives:
1. Improve access to basic waste management services (cleaning, collection and disposal), and minimise
(reduce and divert) waste sent to landfills.
2. IWM by-law implementation.
3. Implement a Waste Information System.
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To this end, key projects and initiatives for 2010/11 include the following:
1
Construct and commission a new Northern region landfill site by 2011/12
2
Rehabilitate old landfill sites (ongoing permit and MFMA requirements)
3
Establish three new integrated waste management facilities:
a. Oostenberg - project started 2007/08 (two years until commissioning);
b. Tygerberg - project started 2008/09 (three years until commissioning);
c. Helderberg - commences 2009/10 (three years until commissioning).
4
Roll-out of two mini-material recovery facilities(MRF) – a 2010 initiative
5
Implement a split-bin litter system in strategic areas – a 2010 initiative
6
Continue with contract services via community-based organisations for integrated area
cleaning and waste collection in informal areas
7
Implement contracts for sandy areas clean-up programmes in disadvantaged communities
via community-based organizations.
8
Continue to monitor and evaluate efficacy of a residential split-bag waste collection pilot
project in five areas (130 000 households) that gives effect to the separation-at-source
principle.
9
Continue with public education and awareness programmes regarding waste management
and waste minimisation (part of WasteWise project).
10
Institute aggressive management, minimisation and re-use of demolition and construction
rubble by facilitating the establishment of rubble crushing plants – contract already awarded
and implemented at three sites, with more to come.
11
Complete a comprehensive MSA S.78(3) assessment into alternate service delivery
mechanisms, particularly focused on changes to the Council‟s waste management system. to
incorporate large-scale waste minimisation.
12
Establish an alternative-technology disposal facility.
13
Implement a landfill gas mitigation project.
14
Implement IWM by-law once adopted and promulgated.
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15
Realign depots and implement flexible working hours to achieve improved service
efficiencies.
16
Establish an integrated infrastructure asset management programme for fixed and movable
assets, plants, equipment, infrastructure and superstructure to optimize asset use and
service delivery - focusing on the waste management fleet as a priority.
CITY FOCUS AREA 2B: CONSERVE NATURAL RESOURCES
Objective 2v - Reduce Water Demand
Reducing the demand for water and minimising wastage across the city are of paramount strategic importance
as doing so will effectively postpone the need for expensive capital infrastructure projects. Cape Town has
already achieved significant water savings over the past decade, and the effect of demand management
programmes has been substantial.
Current water use is measured as being 26.7% below projected
unconstrained demand. In order to maintain, and improve on this level, the City is embarking on the following
programmes and projects.
a) Water Leaks Repair programme
This programme includes both the Integrated Water Leaks Repair project, as well as the Fix-it leaks
project, both of which are aimed at reducing water leaks at the end-user point - with a specific focus on
low-income areas. The Fix-it leaks project operates across the city, and is prioritised based on high
consumption and high debt amongst indigent households. The Integrated Water Leaks Repair project
focuses on suburbs that have been identified to have high consumption, and has thus far been rolled out in
Mfuleni, Protea Park, Saxonsea, Wesbank, Delft, Macassar and Klein Vlei.
The project has the dual benefit of reducing water lost due to leaks, while also assuring significant cost
savings for poorer households. This programme has been running since 2005 and continues to be
successful. To date, actual water saving ranges between 0,25 and 2Mℓ/day. The programme be extended
across the city in 2010/11.
b) Pressure Management
In order to reduce wastage by end-users and minimise water losses due to leaks in the reticulation
network, the City has implemented a pressure management programme. Pressure-reducing valves have
been installed in selected areas, resulting in pressure being reduced from around 10 bars to between 3
and 4 bars. Actual water saving so far ranges between 137 to 200 Mℓ/day.
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Based on the success of this programme, this initiative will be extended to other areas in the future. Areas
have been identified based on high levels of consumption and debt as well as frequency of leaks. It is
expected that they will include Eerste River, Philippi, Delft, Lwandle, Fisantekraal, Brentwood and
Wesbank.
The costs of installing these pressure valves are significantly offset by the returns generated through water
savings in the medium- to long term, with the full investment recouped over a period of between 5 and 18
months, depending on the area.
c) Roll-out of Water Management Devices
Another key programme is the roll-out of Water Management Devices. These devices are designed to
deliver a pre-defined amount of water per day to the household, thus ensuring that households do not use
more than they can afford. The City has prioritised the roll-out, on a voluntary basis, of these devices to
households on its indigent register. Residents of any income status can apply for a water management
device. The City has installed around 30 000 devices thus far, and it is estimated that around 5000 devices
can be installed monthly. Current water saving is approximately 18 Mℓ per month.
d) Treated Effluent Re-use Programme
This programme has been in operation since 2005 and is aimed at offsetting potable water demand by
supplying treated effluent to industrial customers who do not require potable grade water for their
operations. Treated effluent is also being used for the watering of selected sports fields and golf courses,
thus significantly reducing the use of potable water for these operations. The City has prepared a Master
Plan for the future development of the treated effluent programme with the aim of significantly expanding it
across Cape Town.
Currently, the City produces a total volume of 5637.7 Mℓ of treated effluent water annually, with a projected
target of 26 422 Mℓ per year once the expansion of the Treated Effluent Infrastructure is complete.
Projects in 2010/11 will focus on extending the Treated Effluent infrastructure at the Potsdam, Athlone,
Cape Flat, Macassar and Bellville Wastewater Treatment Works.
e) Education and Awareness Programmes
Education and communications are integral to the City‟s water demand management strategy. Wherever
possible, an education or awareness programme is undertaken with affected communities or individuals
before or during the project.
A number of other awareness projects are also run amongst households, businesses and schools. These
focus on reducing water losses, enforcement of the water by-laws and integration of water saving into
everyday life. Additionally, during Water Month in March, the City conducts water saving exhibitions including practical demonstrations and information sharing - in eight different areas of Cape Town.
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Measuring Performance
Performance on this objective will be measured as the percentage reduction in unconstrained water demand
from the June 2008 baseline of 26%. The target is 27%.
CITY FOCUS AREA 2C: EFFECTIVELY MANAGE THE CITY’S INFRASTRUCTURE AND RESOURCES
Objective 2vi - Improve maintenance of City Infrastructure
The City is in the process of developing a public infrastructure plan, and has already captured 2,4 million asset
units in the Financial Asset Register on its SAP system for this purpose. The City‟s Water Services
Development Plan (WSDP, Annexure J), which is updated annually, sets out water infrastructure planning for
the next 20 years. The City will embark on a consistent long-term development path by using public
infrastructure investment as a platform and catalyst to invest in infrastructure that enables economic growth.
Investment in transport and other infrastructure is considered an important enabler of economic growth and
poverty reduction. The provision of basic services, access to social services, and human resource
development in areas of need, will also be ensured.
Infrastructure Asset Management
The City plans to develop and implement a life cycle management system for infrastructure that is used to
provide services in the Water and Sanitation, Electricity, Waste Management, and Transport, Roads and
Stormwater departments. The Infrastructure Asset Management Programme (IAMP) is a corporate project that
is aligned with the Department of Provincial and Local Government (DPLG) requirement to establish and use a
comprehensive infrastructure plan (CIP).
Preventative maintenance and timely upgrades or replacement will save costs in the long term, minimise
outages, and improve service provision. When maintenance is neglected, infrastructure elements like pipes,
pumps and substations eventually require full replacement. When one considers that the replacement value of
the city‟s water and sewer infrastructure, (as determined in May 2003 and escalated by 6% per year) was
approximately R22,15 billion, it becomes clear why effective maintenance is so important.
Electricity Infrastructure
The City has invested significantly in the electricity distribution infrastructure over the last few years to meet
growth in demand for electricity and to replace ageing plants. Continued investment is required to ensure that
quality of supply, adequacy and reliability - as stipulated by the National Energy Regulator of South Africa
(NERSA) - is achieved and maintained.
Aging plants pose a significant and increasing risk to the reliability of supply and the safety of staff and the
public. While demand side measures will contribute to slowing the rate of growth in demand, the demand for
electricity will continue to grow as the city develops and the necessary infrastructure must be available to
support development initiatives.
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The high voltage bulk supply to the Cape Town CBD has been upgraded, partly in preparation for the 2010
FIFA Word Cup™, but mainly to cater for actual and potential development in the CBD and the Atlantic
seaboard, and to replace aging transformers and switchgear. Investment in the medium voltage distribution
network is also required and, because of the increasing load density, consideration is being given to the
introduction of a new voltage level to improve efficiencies.
Over the next five years, existing substations, underground cables and overhead power lines across the
metropolitan area will be upgraded and refurbished as part of a 15-year network development programme.
Investigations, in conjunction with Eskom, indicate that a major new bulk intake point in the vicinity of Mitchells
Plain will be required to relieve the load on the Philippi intake point and to meet the demand from extensive
prospective developments in the Philippi horticulture area. The lead time for the construction of this point will
be a minimum of five years and the project would also require a commitment from Eskom to invest
substantially in upgrading their network.
Solid Waste Infrastructure
As mentioned earlier, the City‟s existing landfill capacity will not be able to cope with the expected increase in
waste volumes during the next five years and beyond. The rehabilitation of the City‟s disused, full landfills and
dumps is long overdue and required by the MFMA and operating permit conditions. Ageing waste collection
vehicles will also have to be replaced to lower the average vehicle life cycle, and make service delivery more
reliable and efficient.
The City‟s new northern region landfill site and the new integrated transfer stations in Oostenberg, Tygerberg
and Helderberg mentioned previously will assist in alleviating the current waste problem, while the roll-out of
mini-MRFs (material recovery facilities) will also form part of the preparations for the 2010 FIFA World CupTM in
the central city/Green Point/CBD areas.
An alternative-technology disposal facility will be established by 2009/10. Contract services via CBOs will
continue to be implemented for integrated area cleaning and waste collection in informal areas. The contract
services for sandy area cleanup programmes in disadvantaged communities via CBOs mentioned previously,
and a split-bag collection system will continue to be implemented in 2009/10. Education and awareness
programmes regarding waste management and waste minimisation, and aggressive waste minimisation
processes, will be implemented and enforced in terms of the IWM By-law that was promulgated in March 2009.
Objective 2vii - Reduce water losses
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Despite the fact that, during 2008/09, the unconstrained water demand of 26.6 % surpassed the Department of
Water Affairs‟ mark of 20%, various Pressure Management Zones still need to be identified. Development of a
Water Balance model, based on the master plan zone, is proceeding as high priority and will be part of the
Data Integration and Monitoring System (DIMS) system to highlight focus areas for loss reduction. Loggers
are currently being installed on all bulk meters to further enhance the accuracy of the data collected to identify
water loss areas and determine where water is not accounted for in the system.
The system for measuring and calculating unaccounted water loss is under review. Once finalised, the new
system, together with configured network systems will allow for a more precise management, monitoring and
control of the distribution water losses.
Water balance
The 12 month-moving average of unaccounted for water (UAW) for bulk was 22.6% at 30 June 2009,
compared to 18.7% in 2008. There has been a slight upward trend over the last year due to a number of
reasons, including pipe bursts, inaccurate meter reading, ceased meters and, to a lesser extent, water
drainage during the installation of Pressure Reducing Valves.
CITY FOCUS AREA 2D: IMPROVE CLEANLINESS OF THE CITY
Objective 2viii - Achieve a clean City
The Metropolitan Cleanliness Index (MCI) is a measure of the state of cleanliness of the visual cityscape, be it
street, or beach, or public open space. It is derived from a rigorous, formal, documented process that includes
photographing and assigning a score at each chosen location. There is a clearly defined scoring modus
operandi including model photographs as a reference for each of four score possibilities. The accumulation of
such scores is converted into a percentage, which then informs future decisions and actions regarding city
cleanliness.
Strategic Focus Area 3
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ENERGY EFFICIENCY FOR A SUSTAINABLE FUTURE
Cape Town is one of the most environmentally rich cities in the world. This environmental wealth is the
foundation of the city‟s economy and, in many ways, underpins its future. The city‟s natural beauty is key to its
attraction as a tourist destination and business and lifestyle location.
However, Cape Town also faces significant challenges as a result of resource scarcity, climate change, and
the cost implications of continuing a “business as usual” approach to city and environmental management. The
potential loss of natural resources, breakdown of biodiversity, and loss of income and employment if the
environment is damaged or destroyed is of extreme concern to the City as, once lost, this environmental wealth
is virtually impossible to recover.
It is in this context that the City has committed to reducing its resource use in the future, with a specific focus
on energy efficiency as a means of creating a sustainable city. To this end, the City of Cape Town is
determined to meet the targets set out in its Energy and Climate Change Strategy and to update these on a
regular basis.
The City also aims to implement extensive energy efficiency programmes and diversify Cape Town‟s energy
supply by incorporating renewable energy into the overall energy mix. The implementation of the City‟s Climate
Change Adaptation Plan of Action will also help to create resilient communities and prepare Cape Town and its
citizens for a more energy constrained future.
Background and Trends
Energy usage in Cape Town has grown as a result of population growth and economic development and
expansion. The graphs below show the breakdown of energy usage in 2007 by fuel type, and reveal that
electricity and petrol comprise more than two thirds of total consumption. Transport accounts for 54% of the
city‟s energy usage - a reflection of the predominant use of private vehicle for transport. However, although
transport accounts for more than half of the city‟s energy usage, it is electricity that is responsible for two thirds
of the city‟s carbon emissions. This is due to the fact that electricity in South Africa is primarily produced by
coal fired power stations, which are heavy polluters and produce up to 2.5 tonnes of carbon dioxide for every
tonne of coal burned - or 1 kg of carbon for every kWh of electricity.
Total Energy Consumption by Fuel Type
Paraffin, 2%
Carbon Emissions by Energy Source
Wood, 1%
Coal, 3%
Petrol, 14%
LPG, 1%
Heavy Fuel Oil, 4%
Diesel, 8%
Petrol, 38%
Diesel, 18%
Jet Fuel, 5%
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Coal, 3%
Heavy Fuel Oil, 2%
Paraffin, 1%
Electricity , 66%
Natural Gas, 1%
Electricity, 33%
Until the end of the 90‟s, electricity usage in Cape Town increased steadily as the population had expanded
and the city has enjoyed steady economic growth. However, this growth rate has slowed significantly in recent
years - from a high of 4.8% in 2001/2, to only 0.5% in 2008/9. Electricity use per capita has remained at more
or less constant levels since 1999/2000, with a slight decrease in recent years. The leveling off seen between
2007/8 and 2008/9 can be attributed to a number of factors, most notably electricity price increases, increased
energy efficiency awareness, action by consumers, and the recent global recession.
Electricity usage per capita (Kwh) - Cape Town Supply Area
Electricity Usage (Gwh) - Cape Town Supply Area
3500.00
12,000
3000.00
10,000
Kilowatt hours
Gigawatt Hours
2500.00
8,000
6,000
4,000
2000.00
1500.00
1000.00
500.00
2,000
0.00
0
99/00
99/00
00/01
01/02
02/03
03/04
04/05
05/06
06/07
07/08
00/01
01/02
02/03
03/04
04/05
05/06
06/07
07/08
08/09
Cape Town’s current energy situation
The City of Cape Town faces a number of challenges in achieving its goal of smart, effective resource
management for a sustainable city. A lack of qualified staff, combined with insufficient budget means that there
is a significant risk that the goals and objectives set out in this IDP may not be achieved. A traditional or
“business as usual” approach to managing these risks will not succeed. Innovative thinking and swift action is
essential if we are to meet the energy efficiency and carbon reduction challenges facing the city.
South Africa‟s own carbon reduction commitments and anticipated global agreements on greenhouse gas
emissions will require the country to embark on a comprehensive programme of emissions reduction. As cities
are major areas of energy consumption, Cape Town included, they will need to take a leading role in achieving
these targets.
There is also a risk to Cape Town‟s international investment competitiveness if it is not perceived to be
reducing its carbon footprint. This will almost certainly have an impact on the city‟s value and attraction as a
tourist destination as international demand for responsible tourism offerings grows.
Climate change itself poses a severe risk to the city. The unpredictable effects of climate change, and the
potential for dramatic changes to the natural environment in the future, makes it essential to plan for possibility
of water scarcity, extreme weather events, sea level rise, and other impacts, well in advance of these changes
taking place. In order to start addressing this issue, the City has developed a Climate Change Adaptation Plan
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08/09
of Action, which lays out the adaptation programme for the City. These options range from “no regret” and lowcost steps that can be taken immediately to long-term, higher cost interventions.
The primary focus of the objectives contained in Strategic Focus Area 3 is to effectively manage the city‟s
existing resources so as to reduce costs and create a more liveable and equitable city, while planning for future
scarcity through appropriate infrastructure decisions and actions. Additionally, the City aims to create and
maintain a culture of saving amongst its citizens, in order to ensure that responsible resource use continues
into the future.
Electricity consumption reduction and carbon reduction targets are key provisions of the City‟s Integrated
Metropolitan Environmental Policy (IMEP) Agenda 2009 - 2014, which sets out to the implementation of a
number of environmental goals and objectives over the five-year period it covers. The overall goal of the IMEP
Agenda is to ensure that the Cape Town is on a strong path of sustainability in which potential problems are
identified and addressed before a crisis situation is reached.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 3A: DEVELOP, ADOPT AND IMPLEMENT A COMPREHENSIVE RESPONSE TO CAPE TOWN’S
ENERGY AND CLIMATE CHANGE CHALLENGE
Objective 3i - Reduce Energy Consumption
Globally, climate change has emerged as a significant threat to our way of life. Carbon emissions from coal
fired power generation, vehicles, and industry are a primary cause of global warming and climate change. In
South Africa, carbon emissions are mainly the result of an electricity supply that is more than 90% coal-based.
As a result, Cape Town has a similar carbon footprint to cities like London and Paris, despite our GDP being
approximately 10 times lower than these cities. It is vital that Cape Town reduces its carbon footprint to be
internationally competitive, and to comply with anticipated global emissions reduction targets. In response to
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this, the City of Cape Town has committed to reducing its carbon footprint from an estimated 6.2 tons per
capita annually, to 5 tons per capita 2014.
The national electricity supply shortage is set to continue for the foreseeable future, while international access
to oil will continue to be constrained. Electricity supply security is of particular concern for Cape Town as it is
the South African city that is located furthest from the supply source. This adds a further threat of transmission
problems to the challenge of electricity supply constraints. While it is of critical importance that Cape Town has
a reliable electricity supply, the City is striving to achieve an economy where growth and energy consumption
are not interlinked. This can only be achieved through the aggressive pursuit of energy efficiency targets.
The City therefore aims to achieve and maintain a 10% or greater reduction in electricity consumption below
the 2007 baseline through the development and management of plans aimed at the industrial, commercial,
residential and building sectors. This target is also supported by National Government and Eskom.
In addition, the City of Cape Town is implementing action plans to address Cape Town‟s energy security,
reduce carbon emissions, and develop a low-carbon growth path. These plans include the following:

Diversification of energy supply through the development of renewable energy and cleaner energy sources.

Reduction of transport energy consumption through the development of public and non-motorised
transport, and the promotion of energy-efficient and cleaner-fuels vehicles.

Ensuring energy efficiency and the introduction of renewable energy supply in Council operations and
systems.

Supporting a more efficient city form and enforcing the urban edge.

Supporting the development of a low-carbon economy.
Implementation of the National Power Conservation Programme
In order to reduce electricity usage by 10% or more, the City will be required to implement the national Power
Conservation Programme once the scheme receives national approval, This programme will initially focus on
large power consumers that use more than 25GWh per annum. A pilot programme will be launched, which will
incorporate smarter metering. The City intends to provide support to these users in the form of Energy Savings
Forums.
Energy supply security through the promotion of renewable and cleaner energy sources
Plans are being developed and implemented to secure adequate supply from all energy sources. Options for
electricity generation by the City itself are being pursued, and incentives and regulatory measures will be
developed where appropriate. Energy efficiency and renewable energy projects are being developed to reduce
electricity consumption in Council operations and systems. The City budget will need to take into account the
potential for a reduction in revenue from electricity sales and to provide for the inclusion of renewable energy in
its supply mix.
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Retrofitting of City Infrastructure
In order to reduce both electricity consumption and the City‟s carbon footprint, elements of Cape Town‟s
infrastructure are being retrofitted with energy efficient technology. Currently the focus is on fitting street lights
with energy efficient technologies, replacing conventional traffic lights with LEDs (light-emitting diodes), and
energy efficient retrofitting of Council office buildings, depots, facilities and utilities. These initiatives have been
made possible through grant funding received from DANIDA (Danish International Development Agency).
Energy savings from these projects must feed into a revolving fund (the operational details of which are still to
be determined) to provide ongoing funding for the programme.
Roll-out of Energy Efficient and Sustainable Technologies
The Kuyasa Energy Efficient Retrofit programme, in which 2 300 low cost houses are being retrofitted with
energy efficient lighting and solar water heaters, is in the final project stages. Similar interventions are taking
place, on a smaller scale, as part of an overall Sustainable Livelihoods and Greening programme at selected
low cost housing developments. Additionally, the pilot Green Schools programme has been launched. This
sees the City of Cape Town working with eight schools in the city to carry out energy audits, draw up retrofit
plans, and implement the required technologies. This programme will realise significant cost savings for these
schools and serve as an excellent educational tool for similar projects to be undertaken at other schools in the
future. These projects have also been made possible by grant funding from the National Department of
Environmental Affairs (DEA) and DANIDA.
Bylaw Development
The City is finalising its Energy Efficient Water Heating Bylaw, which will mandate energy efficient water
heating in all new build and renovations. On the back of the City‟s Green Building Guidelines, the development
of a Green Building bylaw is being explored, in order to develop a more resource efficient built environment,
with specific emphasis on energy efficiency.
Mass roll-out of Solar Water Heaters
The City has committed itself to engaging with service providers to provide Solar Water Heaters to its residents
to be paid for as an affordable monthly payment, at no cost to the City, with revenue collection through the
City‟s existing processes. Tender processes will determine the exact operating mechanism.
Education and Awareness Programmes
Education and awareness are key components of any demand side management programme. The City is
embarking on an electricity saving campaign aimed at households, commercial buildings and operations, and
large industrial users. An Energy Efficiency Forum for owners and managers of a range of commercial
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buildings has already been established, and a similar forum is planned for industrial customers. The behaviour
change campaign for residents will focus on reducing electricity used for water heating as the first of many
saving options in homes. The Smart Living Handbook is a much-used resource that provides information on
how to effectively and cheaply implement sustainable energy, water and waste interventions in daily life. This
handbook will be revised to provide more specific information to businesses and schools, in addition to the
residential component.
Measuring Performance
Performance on this objective will be measured as the percentage reduction in unconstrained use of electricity
from the July 2007 baseline of 10 278 Gwh. The target is 10%. It is intended that all future growth in electricity
demand will be met via renewable energy supply.
Objective 3ii – Adapt to and build community resilience to climate change
There is increasing evidence that climate change is, and will remain, a reality regardless of the successful
implementation of countermeasures and carbon mitigation. Therefore, whilst the City is focusing on reducing its
carbon footprint, at the same time it is working towards implementing adaptation measures to protect the city
from the ongoing impacts of climate change.
The City‟s Climate Change Adaptation Plan of Action (CAPA) was completed in 2009, and provides a number
of adaptation measures that the City can implement in order to minimise the impact of global warming on its
infrastructure, economy, and citizens. As a coastal city, Cape Town is particularly vulnerable to the projected
impacts of sea level rise and an increase in extreme weather and storms. Climate change is also a threat to the
city‟s basic resources, including water, land and infrastructure. It is likely that the poorest communities will be
hardest hit, as they are the least able to make potentially costly adaptations. CAPA provides a number of
interventions that can minimise the impacts of climate change. In order to promote climate adaptation, the City
is embarking on the following programmes and projects.
Climate Change Impact Modelling
The development of a climate change impact model that clearly outlines the risks to the city is of critical
importance as this will provide the basis for determining which adaptation options are most necessary, and
likely to have the greatest impact. The first phase of this model, sea-level rise modeling, was completed in
2008/9 and provided a clear picture of which areas of the coast are most threatened. This model is currently
being extended to the terrestrial environment, and the potential impacts of climate change on water,
agricultural resources, biodiversity, and city infrastructure are being examined. The potential impact on the
local economy will also be modelled once the risks have been quantified.
Long term planning for Climate Change Adaptation
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Climate change is a long-term problem, and as such, cannot be addressed by short-term projects or
interventions. Rather, adaptation needs to be integrated into city planning as a key determinant in the decision
making process. In order for adaptation options to have maximum effect, the City has committed itself to:

taking a proactive approach to adaptation;

ensuring all City activities work towards adaptation;

actively engaging with national and international partners, and strengthening existing relationships;

incorporating risk analysis and adaptation strategies into spatial planning and the location of facilities;

protecting existing infrastructure; and

prioritising vulnerable communities.
Above all, the City intends to adopt a “no regrets” approach to future planning, in which potential climate
change impacts are factored in to avoid costly social and economic impacts in the future. It is important to note
that many adaptation options are of little or no cost if factored in at the planning stage, but may be very
expensive to “retrofit” onto poorly planned infrastructure.
Promoting resilient communities
It is likely that poor communities will bear the brunt of the impacts of climate change, due to their reduced
ability to make potentially costly changes. In order to address this, the City is engaged in a programme aimed
at building resilient communities that are more able to withstand the effects of climate change. This programme
is still in its infancy, but has the potential to make significant improvements to the quality of life of many poor
citizens. The following interventions form part of the programme:

Provision of ceilings in all new social housing, to ensure better thermal comfort and reduce temperature
extremes. This will also reduce the need for space heating, thus improving indoor air quality, and reducing
energy usage and costs.

Greening of new social housing developments to include lawns, shrubs and other vegetation. This has the
significant impact of stabilising the soils in the area, thus making them less prone to wind erosion and
improving air quality by reducing airborne dust.

Urban agriculture projects, including community food gardens, often based at schools. The aim of these
projects is to improve food security and provide the potential to earn some income through the sales of
excess vegetables and fruit. This will help to ensure that poor communities are less vulnerable to global
price shocks and the impact of oil and electricity price increases on food prices.
Measuring Performance
Performance on this objective will be measured by the adoption of a progressive and effective Climate Change
Adaptation Plan of Action that remains up-to-date with current international information and trends, and which
fosters and promotes city, community and individual resilience to environmental change.
Key Targets (extracted from City Of Cape Town Environmental Agenda 2009-2014)
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Target
Per capita Carbon Footprint will be reduced to an
Carbon Footprint
annual average of 5 tonnes (a total of 20 million
tonnes) of C02 equivalents.
Electricity efficiency will be improved to reduce the
Electricity
Consumption
total electricity consumption in 2014 by 10% from
2007 total electricity consumption figures.
Baseline
Current per capita Carbon
Footprint of 6,21 tonnes (total of
20 126 952 tonnes) of CO2
equivalents
Electricity usage in 2007:10 278
Gwh.
The development and endorsement of a progressive
and effective Climate Change Adaptation Plan of
Climate
Change Action that remains up-to-date with current
Adaptation
international information and trends and which
A draft Climate Change Adaptation
Plan of Action has been prepared.
fosters and promotes city, community and individual
resilience to environmental change.
Social Housing
40% of existing pre-2008 social houses will have
been retro-fitted with ceilings by 2014
Retrofit process started in 2009.
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Strategic Focus Area 4
PUBLIC TRANSPORT SYSTEMS
Transport plays a pivotal role in the economic development and competitiveness of Cape Town as well as
promoting social, commercial and cultural exchanges. The Transport sector contributes billions of rands to
local, regional, national and international gross domestic product, provides employment for large numbers of
people, and encourages social cohesion.
Taking all this into account, transport can be regarded as one of the cornerstones of the economy and central
to effective economic growth and development.
There are two main factors that currently influence the ongoing growth in demand for transport infrastructure in
the city. These are:

the spectacular growth in private car usage for general passenger transport; and

the demand for the transportation of goods, which is largely due to changes in the economy and systems
of production - especially the shift from a stock economy to a flow economy.
A balance has to be struck between the demand for transport for economic growth, the increasing need for
mobility amongst residents, and the saturation of major transport networks, which requires large financial
investments to satisfy the increasing demand.
There is growing congestion on our city‟s roads (particularly during peak periods), at public transport
interchanges and airports, and on trains, busses and taxis. Over the past 10 years, traffic volumes in Cape
Town have grown by approximately 3% per annum. The road network carries approximately 90-million vehicle
kilometres per annum. Public transport modes servicing 3.3 million people (2007) carry 1.1 million passenger
trips. The implications of this trend on quality of life and pollution requires no emphasis.
Public transport, freight and business vehicles are competing for space with private cars, making the key
challenge of the current commuting public transport system the concentration of demand during morning,
afternoon and evening peak periods.
The City finds itself having to deal with increasing congestion, lengthier delays and a rising numbers of
accidents - all of which penalise both the economy and the road and transport users.
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A closer look at transport in Cape Town
th
On 5 April 2009, the National Land Transport Act, 2009 was promulgated.
The new Act has clarified the roles and responsibilities of the three spheres of government. The new legislative
framework divides responsibilities into distinct functions of planning authorities, regulatory authorities and
contracting authorities, which implies that more functions of municipal public transport will be assigned to the
City.
The City of Cape Town has, however, risen to the challenge by putting in place an Integrated Transport Plan
with key strategies, policies, programmes and projects in place to deliver
improvements in the current
transport system and services. The key strategic transport objectives of this plan include:

ensuring support for economic growth and development by improving public transport and managing
transport networks and facilities in a sustainable manner, with primary focus on improved public
transport and services;

making transport more accessible, affordable and secure for users and putting the access and mobility
needs of our citizens first; and

minimizing the impact of transport on the environment, thus focusing on putting quality of life at the top
of our agenda for service delivery.
The Integrated Transport Plan (ITP), as a statutory component of the Integrated Development Plan, has been
reviewed in terms of the requirements of the National Land Transport Act No. 5 of 2009. A number of sectoral
strategies for integrated transport have been reviewed. The strategies include safety, public transport
operations, transport infrastructure, travel demand management, freight, non-motorised transport, ports,
airports, road network, asset management, funding, and public consultation.
As a 5-year Strategic Plan, it recommends transport policies and investments required to support economic
growth and development of the City as envisaged in the Integrated Development Plan (IDP) 2007 - 2012.
These include support for infrastructure led economic growth and development, the need for improved public
transport systems and services, and other social, economic and environmental objectives.
The 2010 Transport Strategy focuses on sustainable mobility for the 2010 FIFA World Cup event and beyond.
The aim is to leave a lasting legacy for improved public transport systems, infrastructure, networks, operations
and services through significant investment in improvements and upgrades. This includes investment in nonmotorised transport. Through ongoing coordination and cooperation with our partners, the city, as a Host City
for the 2010 event, has invested over R8.5bn in transport projects, which includes airport, rail, major road, and
pedestrian facility upgrades.
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The current policies and strategies encourage best performance from existing infrastructure and enable the
management of travel demand to make better use of available capacity first. In terms of new capacity, priority
is to be given to the implementation of the IRT/BRT Phase 1A as a Demonstration Project. It is envisaged that
this project will contribute to the renewal of assets, improve reliability and affordability, and provide additional
transport system capacity.
The City‟s long term vision for transport is outlined as:
“To create a world class transport system that delivers safe, reliable, affordable, efficient movement of people,
goods and services that supports local and regional economy, environment and the creation of livable
communities.”
The delivery of this vision also involves ongoing cooperation, communication and collaboration with our
partners, including the National Department of Transport, the National Treasury, the Provincial Government of
the Western Cape, the private sector, public transport operators and communities.
The City aims to improve public transport system and services for the benefit of all citizens, both now and in
the future. In the 2008/2009 financial year, a number of key transport objectives and outcomes were identified
as part of the Integrated Development Plan for City. These included:

the need to reduce average commuter travel time on selected corridors;

the need to increase cumulative kilometres of dedicated lanes on selected corridors;

the establishment of a single point of authority for transport and the need to improve public transport
services; and

the need to secure new investment in transport infrastructure.
During the 2008/09 financial year, the City managed to deliver an additional 15 kilometres of critical routes with
dedicated public transport lanes. This brings the cumulative total of critical routes with dedicated public
transport lanes in the City to 68 kilometres. Work on the first phase of Cape Town‟s bus based public transport
system, the Integrated Rapid Transport (IRT) system, commenced and by May 2010, in time for the 2010 FIFA
World Cup, trunk services will be in place between the Airport, the CBD and the Stadium.
What residents think of Cape Town’s transport infrastructure
While an effective public transport system is critical to the functioning of any City, very little input was received
from Cape Town residents as part of the community surveys aimed at informing the IDP.
Public Transport
Rather than indicting overall satisfaction with public transport in Cape Town, the relatively high scores received
in this area probably point to a lack of awareness and understanding around public transport by residents. The
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City, having a vested interest in an effective public transport system, must continue taking necessary steps to
assist and partner public transport providers. Further, the IRT will reshape public transport in the City forever.
Taxis
Residents are concerned that the taxi industry as a whole is unsafe. Concerns include reckless driving,
speeding and a disregard for rules of the road. Calls are being made for more stringent enforcement.
Traffic calming
All sources of public input highlight that many residents feel unsafe with the dangers posed by traffic, and
residents have appealed for measures to improve safety on the roads. This is an important issue that needs to
be addressed. Measures residents would like to see implemented include more traffic calming and visible
policing. It appears that most of these calls come from less wealthy areas. As residents have identified specific
roads and intersections, it will be important for the City to follow up and investigate possible solutions and
interventions. On the other hand it is important, given multiple users and opinions on the issues, to have a
standardised set of criteria to govern decisions around the implementation of traffic calming measures.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 4A: IMPROVE PUBLIC TRANSPORT SYSTEM AND SERVICES
Objective 4i - Reduce public transport commuter travel time on selected corridors
An essential element of any effective, efficient, safe and affordable transport system is that it offers acceptable
travel time for journeys, particularly from home to work. To this end, this objective focuses on rail- and roadbased priority transport corridors. In the 2010/11 financial year it is envisaged that a 10% reduction in travel
time will be achieved along the Atlantis Corridor.
Challenges and trends
The challenges in achieving reductions in travel time include the growing congestion that results from
commuters preferring to use private cars over the public transport modes. There is a need to enhance the
public transport experience so as to promote a shift towards the use of safe, reliable and quality public
transport. Improving the entire public transport experience requires significant financial investment and,
currently, the City has limited funding for this purpose.
The programmes supporting the drive towards decreasing travel time along selected corridors are integrated
so most of the resources in the Transport Department are associated with this drive. These resources include
both the human resource capacity and the financial resources available.
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Better management and maintenance of transport networks and infrastructure will be achieved via a
programme that includes:

Unblocking the major routes: towards multimodal corridors giving priority to road based transport;

Improving traffic conditions: specific traffic management measures ( Development of Traffic Management
Plans);

Improving major transport infrastructure, systems, services and networks;

The use of new technologies for improved road safety;

Developing high quality urban transport through rationalisation and making better use of public transport
and existing infrastructure; and

Improving traffic signaling
Measuring performance
To measure delivery on this objective, before and after studies and surveys on selected corridors will be
undertaken.
Objective 4ii - Increase length of dedicated public transport lanes along selected corridors
There is a need to implement measures that will enable a decrease in commuter travel time, ensure dedicated
right of way traffic flow, and decrease the number of accidents. The increase in length of dedicated lanes
supports this objective and will support economic development by improving public transport systems with
special emphasis on:

Getting people to work on reliable, radial links within acceptable times frames and levels of crowding;

Improving access and mobility and the need to accommodate the more dispersed growth in housing,
employment and leisure trips especially those living on the outskirts of the City;

Ensuring that as many commuters as possible use public transport, walking and cycling; and

Managing the road network, reducing congestion and mitigating negative impacts on the environment.
Challenges and trends
A number of challenges need to be overcome in order to achieve this objective. These include:

Difficulties in persuading the taxi owners, drivers and related industries of the benefits of the new
approach.

Growing congestion due to the imbalance of transport modes.

Limited funding.

Dependency by residents on private cars as a primary source of transport.

Stabelising the volatile situation around the mini-bus taxi industry from a safety and security perspective.
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Implementation of the Integrated Rapid Public Transport Network (IRPTN)
The need for improved public transport systems has been supported by Cabinet in 2007 when a National
Public Transport Strategy and Action plan was approved with a specific vision of moving from basic commuter
public transport operations to accelerated modal upgrading and the establishment of Integrated Rapid Public
Transport Networks (IRPTN) in the major metropolitan cities in South Africa. The critical building blocks for this
strategy include:

An Integrated Rapid Public Transport Network and Implementation Plan

Municipal Control and authority over the integrated network and

Maximum stake for existing bus and mini bus taxi sector in the Rapid Public Transport Network operations.
The IRPTNs comprise the following elements:

Rail Priority Corridors

Bus Rapid Transit (BRT) Networks which will imitate rail by running on exclusive lanes.

Formalisation and inclusion of current operators and labour, especially from the Minibus Taxi and bus
industries as contracted operators
The intention is to ensure that trains, buses, taxis, BRT trunk and feeders have a common fare collection
system.
Progress thus far

Phase 1A of the Integrated Rapid Transit (IRT)/BRT system is under construction - with 15km of dedicated
lanes between the Airport and Cape Town CBD and along the Atlantis Corridor.

Enforcement of existing public transport lanes is taking place on the N2, Vanguard Drive; Duinefontein –
Modderdam Rd; R300 freeway in order to strengthen the north/south movement.
Resources Allocated
R2.5bn has been allocated for implementation of IRT Phase 1A for the next 3 years and the development of
Enforcement Strategies for existing public transport lanes is a priority.
Measuring performance
The indicator will be measured by the number of additional kilometres of public transport priority lanes
completed.
Objective 4iii - Increase percentage of commuters using public transport
The steady growth in the population of Cape Town has lead to urban sprawl and increasing traffic congestion.
A key theme of the Integrated Transport Plan is sustainability and this is supported by densification of
developments, rather than expanding into new areas, as well as reducing all impacts of trip making on society
and the environment. Effective Public Transport is therefore key in achieving such sustainability.
Challenges and trends
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There are a number of challenges facing the City of Cape Town in terms of attracting commuters to public
transport. These include:

Getting the Basics Right: the transport system needs to be organized to maximize social inclusion,
support economic development, and provide sustainable mobility options. This implies that that the system
should be safe, reliable, and convenient, and offer value for money.

Unequal growth in the different modes of transport: the current transport system shows that some of
the modes have adopted better to the needs of a modern economy. It is also a sign that not all the costs
have been included in the price of transport, and certain social and safety regulations are not being
respected - especially those relating to road-based transport services.

Poor integration between various transport operators and land use developments, as well as poor service
levels and security concerns, hamper the transport sector and impact negatively on the development of the
city as a whole.

Ensuring passenger safety is a vital element of the programme and the City’s law enforcement
department which is expected to make a significant contribution to safety in the city . In access of
100 additional law enforcement and traffic staff members will be deployed for the exclusive
purpose of policing this initiative.
Modal Split Targets
Year
% Private
% Public Transport
Existing
52 %
48%
2010
50 %
50%
2015
47%
53%
2020
43%
57%
(Source: Integrated Transport Plan 2009)
The overarching objectives of the programme include:

Increase the number of public transport users

Offer new public transport transfers

Enter into new public transport contracts

Institute an 18hr operating transport system

Acquire new infrastructure, stations and vehicles to improve the image of public transport

Integrate non-motorised transport networks and services with public transport

Improve safety and transport management and operations through the new Transport Management Centre
(TMC)

Implement rail-based Park & Ride Facilities to support rail operations.

Improve the offering of the Transport Information Centre
Resources Allocated
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The programmes supporting the drive towards increasing the number of people using public transport are
integrated, meaning that most of the human and financial resources available to the City of Cape Town
Transport Department are available to assist with this objective. These resources include both the human
resource capacity and the financial resources (R4 billion) available.
Measuring Performance
Delivery on this objective will be assessed via ongoing surveys and vehicle counts to monitor any shift in the
number of private vehicles in use on Cape Town‟s roads.
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Strategic Focus Area 5
INTEGRATED HUMAN SETTLEMENTS
Cape Town‟s spatial structure remains fragmented and spread out and, despite dramatic political changes,
growth, and development since 1994, the challenge of providing adequate housing in integrated settlements
endures.
It is estimated that the current population of Cape Town is 3.5 million, comprising approximately 1 019 395
households (July 2008 estimate) – a figure researchers predicted would only be reached by 2015.
This can largely be attributed to an annual growth of about 18 000 households due to steady in-migration,
predominantly from the rural areas of the Eastern Cape, by people seeking job and economic opportunities.
Approximately 400 000 (44%) of these households live in densely occupied informal settlements and
overcrowded conditions in the front and backyards of public and private formal housing – a situation that is not
conducive to the physical and psychological wellbeing of these families.
The scarcity of suitably located vacant land for low cost housing development and concomitant astronomical
acquisition costs, coupled with limited state funding, means that housing remains a huge challenge for the City.
Currently the City makes no provision in terms of any additional funding and space for the annual immigration
of 18 000 households from mainly the Eastern Cape to Cape Town. The majority of these households are poor
and rely on the state to provide them with subsidised housing opportunities. Most of these families have to find
living space in suburbs and townships that are already poor and overcrowded.
In order to address this situation the City will have to build into its organisational structure some clear functional
responsibilities for addressing poverty and urbanisation together with promoting opportunities for the creation
of low skilled jobs.
On average, it is within the City‟s funding resources to provide approximately 8 000 housing opportunities per
annum. (Housing opportunities are defined as access to a Breaking New Ground (BNG) house, GAP
(Affordable) Housing, a serviced site, social and rental housing, as well as claims settled in terms of the
Regional Land Claims Commissioner.)
It is obvious that, at its current rate, the demand for housing far outstrips what the City is able to supply and
makes it imperative that the City review its current delivery models.
In order to meet and overcome most of these challenges, the City needs to promote more integrated
settlement patterns in existing and new residential areas. People need to live closer to the amenities and
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services they require. It is essential that both new and existing living environments provide equitable and
adequate recreational and community facilities, which are maintained according to the City‟s set standards.
Once these standards are adequately met across the city, standards for selected facilities can be raised to
compare with international norms over the medium to longer term. The City is also developing a planning tool
to inform the provision and clustering of these facilities.
In addition, the City needs to adopt a pragmatic approach that focuses on: creating higher densities (multistorey, as well as greater number of dwellings per hectare); a planned approached to land banking utilising the
newly established Housing Development Agency (HDA) to unlock unused or underutilised state-owned land;
petitioning National Government for a greater share of its Division of Revenue Act (DORA) allocation to the
City; and influencing planning legislation that will fast-track housing delivery to the poor.
A closer look at Cape Town’s current integrated settlements status
The City regards integrated housing and settlement solutions as a high priority and aims to ensure the delivery
of houses or residences for all citizens of Cape Town as well as to provide good community facilities and
services across the City. It is also acknowledged that a viable human settlement is a safe settlement and that it
is important to create a safe and secure environment for all the people of Cape Town.
In the last year the City delivered 9 576 houses and established a Anti-Land Invasion Unit established to
ensure that City-owned land set aside for housing development is not invaded or occupied illegally. Old council
rental accommodation for 7 665 families are being upgraded and the 5-year Housing Plan revised and
rewritten.
The Housing Need
87% of Cape Town‟s households living in backyards, overcrowded conditions and informal settlements have a
monthly household income of R3 500 or less. A further 12% of households have a monthly household income
of between R3 501 to R7 500, with 1% earning more than R7 700 per month. Given that the current expressed
need is 400 000, a total of 348 000 households are wholly dependent on the state for their housing, with the
remaining 52 000 partially dependent on the state.
At a local level the City has a Constitutional and legislative imperative to initiate, plan, promote and enable
housing development that will result in the households described above having access to adequate housing.
In order to comply with its legislative obligations, the City is currently granted a 72% share of the DORA
allocation, which the Western Cape Provincial Department of Human Settlements receives from its National
counterpart. A breakdown of the City‟s DORA allocation for the current and ensuing two financial years is
shown in the table below.
Year
Amount
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2009/10
R663,5 million
2010/11
R764,4 million
2011/12
R901,7 million
In addition to this grant, the City continues to supplement the development of housing from a range of its own
funding resources such as the External Finance Fund (EFF) and the Capital Replacement Reserve (CRR)
fund. The total funding is used to acquire, plan and develop the land and the construction of BNG houses for
beneficiaries, using the range of housing programmes as prescribed in the National Housing Code policy
document of the National Department of Human Settlements.
Land
Assuming that future planning for low cost housing development will continue on the basis of one family per
plot, and at an average density of 40 units per hectare, then approximately 10 000 hectares of suitable vacant
land will need to be identified to address the current need of the 400 000 households.
The geology of Cape Town limits its natural spread, contributing to the high cost of land. Last year it was not
uncommon to pay up to R1m per hectare for well located privately owned vacant land in some of the City‟s
prime residential areas. Therefore, at current prices, an estimated R10b would be needed to acquire 10 000
hectares of land to address the current housing need.
However, the focus for now is to acquire and package land parcels that would enable the City to spend its full
annual allocation for housing development in the ensuing years. During the 2008/9 financial years the City
invested R154m for the acquisition of 210 hectares of land, which constituted the first phase of land banking for
its medium to longer-term housing developments.
A further R68m has been allocated for land acquisition during the current 2009/10 financial years. Other
initiatives include playing an activist role in securing state-owned land and for this purpose the City will work
closely with the Housing Development Agency (HDA), which has a specific mandate to source public land for
housing development.
Community Facilities
The City‟s intention is to provide for community facilities on an equitable basis and maintain them according to
uniform standards across the city. The City is developing a planning tool to inform the provision and clustering
of these facilities – including parks, libraries, sport fields and community halls.
This tool will assist with the identification of areas where the existing supply of, and demand for, facilities are
not balanced and assess if they are correctly and optimally located. It will also identify suitable locations for the
provision of facilities to eradicate backlogs and accommodate future needs.
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The maintenance of these facilities is assessed against the City‟s set minimum standards. Once these
standards are adequately met across the city, standards for selected facilities will be raised to compare with
international norms over the medium to longer terms.
Current resource and budget constraints means that the provision and maintenance of these facilities has
become increasingly more dependent on partnerships and international donors, as well as having to explore
external funding opportunities in order to ensure the ongoing development of facilities and amenities.
An increasing trend in vandalism and security concerns at facilities are also impacting negatively on the ability
to adhere to standards, and place additional strain on the budget.
Being an unfunded mandate, the City will pursue efforts to aid in reaching a resolution with Provincial
Government on the funding of libraries services to the citizens of Cape Town, as well as establish policy and
spatial planning frameworks that will facilitate the development of integrated human settlements.
Programmes and projects
The second draft of the Cape Town Spatial Development Framework & District Spatial Development Plans and
Environmental Frameworks is being prepared and the final round of public consultation will take place in
2010/11.
Following this, these documents will be redrafted and submitted to the Provincial Government of the Western
Cape for approval in terms of Article 4(6) of the Land Use Planning Ordinance (No. 15 of 1985).
A plan for better housing delivery
It is estimated that around 400 000 families across Cape Town are in need of housing. This situation is
exacerbated by the fact that the city‟s population is growing at around 18 000 families per year.
The City has written a five-year housing plan aiming to meet the housing needs of Cape Town‟s citizens by,
amongst other things: upgrading informal settlements; offering more rental accommodation; redeveloping
hostels; and building more formal housing.
Recently the National Department of Housing conducted research that shows the City of Cape Town is actually
leading the rest of the country in terms of its providing services to informal settlements.
Adding value to communities
During the 2008/09 year, work on a long-term Facilities Master Plan progressed well. The aim of the plan is to
ultimately have a city that offers all its citizens access to attractive, conveniently located facilities that contribute
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toward building a sense of community. By June 2009, five Quality Public Spaces had been completed in
Nyanga, Elsies River, Philippi, Gugulethu, and Harare in Khayelitsha.
Establishing Public Needs
The need for housing is a very important need for many residents, which accounted for 12% of total IDP
comment while 32% of respondents in the CSS also believed it was the top priority.
Residents believed that, in all the steps involved in making housing available, the City was performing worse
than in previous years and housing is the lowest scoring range of services in the City (CSS). Yet the City
delivered 3 000 more housing opportunities than in 07/8, 2 000 more than were delivered in 06/7, and double
that which was delivered in 05/6.
Residents were also concerned with who will get housing, and much debate went into trying to resolve this
issue. A related issue for residents was accusations of favouritism, which were vigorously expressed at the
road shows. Residents want to know who is on the housing lists and when their housing needs will be met.
Rental stock
Residents wanted the houses that they rented from City to be repaired. This emerged especially in the MRS.
Complaints ranged from leaking ceilings, to the absence of taps and broken windows. Limited mention of
complaints on the C3 system leads one to assume that the poorer areas do not make use of the C3 system.
Another issue is that residents were unhappy with the quality of work performed by private contractors hired by
the City to conduct maintenance. One lady spoke of how a burst pipe had to be re-fixed three times. This is an
important issue that requires attention – perhaps via an inspection rate of 10% of work performed by
contractors, and an investigation into punitive measures for contractors whose work is consistently found to be
of a poor standard.
Temporary Relocation Areas
Important issues for TRA residents included the concern that TRAs are located far away from sources of
employment and have high associated costs that people cannot afford. There were also requests from people
who have no other accommodation to be relocated there.
Informal Settlements
Squatters can be found throughout the city, and residents were concerned with the issue of land that is to be
developed that is being illegally squatted on. To address this challenge, the Housing Directorate have created
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a new Anti-Land Invasion unit to react to so-called 'land invasions', via tighter controls of building standards on
new developments. Residents called for an improvement in the standard of contractors work in new
developments, as there were a number of complaints raised around this issue.
Parks
Residents were satisfied with their access to parks. Maintenance was, however, highlighted as an issue.
Furthermore there were issues raised around safety and parks as venues for anti-social behaviour to occur.
Generally people wanted parks to be fenced off and lit. Given the large number of parks, the cost of this
request and the limited budget this will not be possible for all parks.
Verges/tree trimming
The mowing and maintenance of areas receives much public comment. Whether these areas are parks or
street verges, residents believe this is a very important service. Similarly, tree trimming also commands a high
level of resident attention.
Libraries
Libraries are perceived as a vital service - one in which the City scores very highly. Libraries are also perceived
to be a means of youth upliftment by various sectors in the community. Thus there were a number of calls for
new libraries to be developed CSIR has conducted an in-depth study with regard to calculating and assessing
the need for various community facilities including libraries. Unfortunately, the City will not be able to address
all new library needs, as it does not receive money from national government, so funding needs to come from
Cape Town residents.
Civic Centres
A number of valuable inputs were captured in the road show. Residents spoke of the difficulty of booking a hall
(two week notice period) and expressed concern that some applicants are turned away even though the hall is
empty. There was a request on behalf of NGOs to access to the hall at cheaper rates.
As a result of this feedback from residents of Cape Town, the City has committed to placing particular
emphasis on the following in 2010/11:

Increasing housing opportunities;

Continuing to support the upgrade of informal settlements and the provision of integrated services and
facilities;

Actively pursuing the City‟s accreditation by the Provincial Department of Human Settlements and
thereafter actively implementing the City‟s Five Housing year plan; and

Clearing bushes in areas with high crime rates.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
87
KEY CITY FOCUS AREA 5A: PROVIDE EQUITABLE COMMUNITY FACILITIES AND SERVICES ACROSS THE CITY
Objective 5i – Maintain community facilities open for community use at required standard
Community facilities and services are being developed towards a level where they are maintained to set
minimum standards against which they can be (and) assessed (against set minimum standards). Once these
standards are adequately met across the city, standards for selected facilities will be raised to compare with
international norms over the medium to longer terms.
The City is also developing the GIS (Geographic Information System) planning tool to better inform the
provision and clustering of community facilities. This tool will assist with the identification of areas where the
existing supply of, and demand for, facilities are not balanced and assess whether they are correctly/optimally
located. It will also identify suitable locations for the provision of facilities to eradicate backlogs and
accommodate future needs.
The following approaches are being followed in order to maintain and increase maintenance and service
standards:

The investigation of alternative means to support the recovering of facilities and services. The focus
will be on exploring external funding possibilities through naming and advertising rights, sponsorships,
grant funding and partnerships.

Engaging with community based stakeholders to establish mutually beneficial partnerships that will
lead to the sharing of responsibilities with regard to the maintenance and security of facilities.

Engaging with commercial partners and international donors for the development of community
facilities and amenities, and making sure the ongoing services are realisable.

Reaching agreement with Provincial Government on the future mechanism for the rendering of library
services to the citizens of Cape Town.
Within the spectrum of sporting facilities that the City provides there are 37 municipal swimming pools of
which three are indoor facilities. These three facilities as well as the Sea Point swimming pool are open all
year round. An ongoing “Learn to Swim” programme will continue to be provided in partnership with the
swimming clubs in local neighbourhoods focussing mainly at primary school level
Measures & Programmes
Number of parks mowed and cleaned according to minimum standards
3 058 Public parks are maintained to ensure that they are in a condition for communities to utilise for outdoor
recreation and other intended purposes at all times.
Key components of the management of these facilities include grass mowing and keeping them clean.
In order to ensure that parks are maintained in an equitable manner across the city, a uniform set of standards
for all maintenance functions has been developed and implemented.
88
While the adoption of such a common set of benchmarked maintenance standards that is applied in an
equitable and integrated manner across the City remains a challenge, it will ensure that the service delivery
levels and expectations of communities can be managed in a proactive and consistent manner.
Furthermore, such maintenance standards will also provide guidelines for the procurement of external service
providers and community contractors as a resource for ensuring service delivery. The City has the opportunity
to engage with stakeholders and develop partnerships using these maintenance standards as a benchmark for
performance criteria.
Other ongoing challenges include budget constraints and escalating costs of resources, as well as the level of
vandalism and anti-social behaviour at public parks, which increase repair costs and has a negative impact on
the ability to adhere to a set level of maintenance standards. This is exacerbated by natural conditions such as
water restrictions and changing climatic conditions.
The planned interventions for 2010/11 include the implementation of the Greening Strategy, which has as a
key deliverable the management of maintenance standards throughout the City. The action plan includes:

Reviewing current categories of parks and public open spaces to ensure the maintenance plans are
aligned to size, utilisation and functioning of the various categories of facilities.

Establishing productivity indices or measures for all maintenance activities and resources to ensure the
outputs can be measured in a consistent manner.

Reviewing the current maintenance standards and guidelines and include learning and insights gained
from the past years implementation, as well as consider national and international developments in
terms of benchmarks.

The development of appropriate performance management metrics for each maintenance standard
and for the collective performance of the function so as to ensure the required outputs as well as
outcomes in terms of set service delivery objectives are achieved.

The development of a capacity building programme for external service providers to ensure that the
industry can respond to the needs of the organisation in a manner that is acceptable.

The conduction of a security assessment and development of a related strategy to deal with the risks
associated with safety and security in parks.

Business improvement initiatives relating to continuous process improvement, as well as targeted
business improvement projects.
The planned interventions for the 2011/12 financial year include:

Ongoing monitoring of performance relating to maintenance of parks in accordance to standards.
89

The development of a monitoring and record keeping system relating to utilisation patterns and user
profiles so as to ensure that the City is responding to the needs of community.

The development of a spatial view of all zoned public open spaces aimed at accurately recording all
spatial information for planning and development of future facilities, and adjustment to maintenance
and management plans where required.
b) Number of libraries open according to minimum set open hours
Three types of minimum opening hour standards have been set for libraries:

City-wide libraries – 63 hours per week

Regional libraries – 45 hours per week

Community libraries – 35 hours per week
As libraries need sufficient staff members to achieve these minimum opening hours only some of the libraries
are currently meeting the standard. Our target for 2009/10 is 63 of the 104 libraries.
Library Services is currently short about 182 staff members needed to meet the minimum opening hours at all
libraries. As libraries are an unfunded mandate there is unlikely to be any added funding from the City to
improve this situation.
The PAWC conditional grant has provided 93 contract workers for the past three years that has helped the
situation, but these contracts expire in June 2010. The PAWC conditional grant in 2010/11 will be needed to
pay for the new computerised library system and the remainder of the money will only fund 68 contract staff
members.
Measures and Programmes
Continued efforts need to made to resolve the unfunded mandate so that there is proper funding for libraries.
This is an ongoing national process. As part of this focus:

A facilities plan for libraries will be finalised during this financial year. The main outcome will be to
determining that there is a fair and equitable distribution of libraries throughout the City. This might
lead to a redistribution of resources enabling more to meet the minimum hours during 2010/11.

every effort will be made to encourage the establishment of Friends of the Library organisations in
more libraries. These organisations assist with volunteering and other contributions to help libraries to
meet their minimum opening hours.
The planned new library system should make library processes more efficient, thus maximising staff
productivity and potentially helping to meet minimum opening hours during 2010/11.
c) Number of formal fenced sports fields with complete grass cover
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The provision and maintenance of local sports fields is one of the core constitutional obligations of local
government in the areas of sport and recreation. The City manages 177 formal sports field complexes that
contain approximately 513 individual sports fields. Over utilisation and extreme weather patterns, especially in
winter, create a challenge in the provision of good playing surfaces for both winter and summer sports played
on these grass fields.
The City has managed to institutionalise the relationship with users through the Institutional Framework, which
has established Facility Management Committees (FMCs) to assist the City with the management of these
facilities. The Institutional Framework structures create a major opportunity to get buy-in from the users. FMCs
have played an integral role in addressing some of the challenges regarding the lack or inequitable spread of
resources to ensure effective services delivery at our sport fields. It has been observed where there is strong
FMCs, sports fields are used according to threshold norms and the minimum standards are easily achieved
and adhered to on a sustainable basis.
Inputs invested in achieving the objectives and outcomes

Roving teams ensure that staff is available at the sport fields.

The purchasing of modern mowing equipment - which will contribute to productivity.

The provision of nine synthetic soccer pitches at strategic locations will alleviate the pressure on grass
fields, especially during winter, where these fields are over utilised.

This is part of a phase approach to have at least one full sized synthetic pitch per district.
Measures and Programmes
A functional group has been established to ensure that all sport fields are being maintained as and developed
towards being world-class sporting fields. The objective of the group is to: provide technical guidance
specification; standardise practices, processes and systems; review best practices; develop operational policy
and guidelines; determine minimum standards; identify training needs; determine all resource levels; evaluate
usage and functionality of facilities; play an advisor role to DMT; share knowledge; solve problems; assimilate
research collations; partnership identification of framework; and engagement with all stakeholders and role
players.
The City will therefore undertake the following Programmes and Projects for the 2010/11 and 2011/12 financial
years:

The development of an Annual Maintenance Plan per facility by 1 July 2010

The implementation of code specific seasons with clear maintenance and rehabilitation window
periods.

Controlled Usage: advanced fixture submissions on a monthly basis.

The implementation of monitoring systems that will culminate in monthly reports.

Corrective actions, where necessary, and in an integrated manner with the following stakeholders:
o
Sport Field Coordinators
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
o
Facility Management Committee (MFC)
o
Facility Officers
Construction of full-sized synthetic pitches in areas for in Atlantis, Lwandle, Hout Bay and
Imezamuyetu.
d) Number of Open, Safe and Clean Halls
The usage of the City‟s 202 halls is one of the most common places where citizens and visitors experience the
city‟s service delivery. Community Centres are used by a cross section of local communities ranging from
NGOs to ratepayer associations, youth groups, religious groups as well as sport and recreation clubs. The
cleanliness or otherwise of these halls contribute directly to the community‟s perception on service delivery.
Current Challenges

Closure of facilities due to non-compliance with Fire Safety regulations.

Increase in vandalism.

Public liability through poor non-compliance to Fire and Safety.

Halls do not meet requirements in relation to minimum staffing levels.

Ageing facilities and decades of neglected of repairs and maintenance.

Usage of halls in times of disasters impacts negatively on regular users.
Programmes and Projects
A functional group has been established to ensure that all halls are being maintained and developed to uniform
minimum standards with all formal fenced sports complexes having grassed playing fields and functional basic
ablution facilities. . The objective of the group is to: provide technical guidance specification; standardise
practices and process/system; review best practices; develop operational policy and guidelines; determine
minimum standards; identify training needs; determine all resource levels; evaluate usage and functionality of
facilities; play an advisor role to DMT; share knowledge; solve problems; assimilate research collations;
partnership identification of framework; and engagement with all stakeholders and role players.
The City will undertake the following Programmes and Projects for the 2010/11 and 2011/12 financial years:

Reallocating resources to ensure compliance to Health & Safety legislation.

Implementing electronic booking systems to improve accessibility by customers.

A review of Minimum Maintenance standards.

An annual maintenance plan and schedule per facility.

A review of safety requirements to create savings on General Expenses.

The implementation of monitoring Systems.

Monthly facility checks.

Annual safety audits.

The implementation of a customer survey.
The City‟s Repairs and Maintenance turn-around strategy involves a 60/40 percentages split in reactive and
pro-active repairs and maintenance. In terms of this approach, 40% of the annual Repairs and Maintenance
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operating budget will be used for pro-active (long term positive impact) maintenance projects, and 60% of the
budget will be spent on reactive. The objective, after five years, is to spend 80% of this budget on pro-active
and only 20% on reactive maintenance.
KEY CITY FOCUS AREA 5B: DELIVER HOUSING OPPORTUNITIES IN ACCORDANCE WITH THE FIVE-YEAR HOUSING PLAN
Objective 5ii – Increase subsidised housing opportunities provided by the City
Accreditation
The City has submitted the necessary applications and supporting documentation for Levels One and Two
Accreditation by the Provincial Department of Human Settlements.
Being accredited means that the City will be able to prioritise projects, receive funding directly from the
National Department of Human Settlements, have the delegated authority to implement National Housing
Programmes and undertake the administration of subsidy approvals for beneficiaries.
This will greatly enhance the delivery of housing projects that are contained in the 5-year housing plan. At the
same time it means embarking on a functional analysis process that will determine the staffing and resource
requirements for the City as a fully accredited local authority.
Backyard dwellers
The proliferation of backyard dwellers is directly linked to the length of time many poor households have to wait
before they are awarded a housing opportunity. The City aims to address the plight of the thousands of
backyarder families whose needs have historically been overlooked. Many of the families live in appalling
conditions and are being exploited by cavalier council tenants and private landlords, some of whom have
become dependent in rental income. The City is investigating means of providing second connections to its
rental properties in order for backyard families to secure access to basic services in an equitable and fair
manner.
The City‟s approved Housing Allocation Policy makes provision for backyarders, who are on the housing
database, to be allocated housing opportunities. Given the fact that many backyarders will wait a very long
time, the proposal is to provide second connections where they are living currently.
Setting of Targets
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Based on the funding that has been allocated by the National Treasury, the City has set a target of delivering 8
400 housing opportunities for the 2009/2010 financial year, which will increase to 8 800 in the 2011/2012
financial year.
Housing Opportunities targets 2009/2010 to 2011/2012
DELIVERY TYPE
2009/10
2010/11
2011/12
New BNG Subsidy Project Linked Projects
4 100
4 200
4 500
Social Housing
300
300
300
Hostels Redevelopment
300
300
300
Upgrading of Informal Settlements & Emergency Housing
2 000
2 000
2 000
Land Restitution Claims
200
200
200
GAP (Affordable) Housing
500
500
500
CRU (Major upgrade of rental Stock
1 000
1 000
1 000
TOTAL
8 400
8 500
8 800
Projects
The City is committed to a number of approved projects and has identified others to achieve the above targets.
Projects under construction
No.
Project
Units Area
Sub Council Ward
1
Bardale
5947 Blue Downs
22
18
2
Brown's Farm Phase 6
678
Brown's Farm
13
34
3
Hostels Redevelopment - Ilinge 326
Nyanga
14
37,39
Athlone
17
49
Labahlali (CRU)
4
Kewtown
Infill
Development 236
(PHP)
5
Kuyasa Village 1, Phase 2
2399 Khayelitsha
10
95
6
Masiphumelele School Site
380
Noordhoek
19
70
7
Melkbos
100
Melkbosstrand 1
8
Mfuleni
Flood
Relief
PHP 4461 Mfuleni
22
23
18
Consolidation
9
Mitchell's Plain Infill Phase 1
1345 Mitchell's Plain 10,12
82,99
10
Morgans Village 3
208
75
11
Nonqubela Phase 2
1250 Khayelitsha
12
Nyanga
Upgrading
Mitchell's Plain 12
Project 2070 Nyanga
10,22
93,96
14
37,39
12,13
76,35
(PLF&UISP)
13
Philippi East Phase 5
405
Philippi
14
Philippi Park (PHP)
1100 Philippi
14
37
15
Silvertown Khayelitsha
1316 Khayelitsha
9
93
94
16
Site C: Survey & Subdivision 6250 Khayelitsha
23
87,89
19
64
(PHDB)
17
Steenberg
Social
Housing 450
Steenberg
Development
18
Wallacedene Phase 10A
1617 Kraaifontein
2
6
19
Wallacedene Phase 10B
256
Kraaifontein
2
6
20
Wallacedene Phase 3
1108 Kraaifontein
2
6
21
Wallacedene Phase 4
735
Kraaifontein
2
6
22
Wallacedene Phase 5
537
Kraaifontein
2
101
23
Wallacedene Phase 6
1209 Kraaifontein
2
101
24
Wallacedene Phase 7
582
Kraaifontein
2
101
25
Wallacedene Phase 8
573
Kraaifontein
2
101
26
Wallacedene Phase 9
1440 Kraaifontein
2
6
27
West Cape
121
Mitchell's Plain 12
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Planned Projects
No. Project
Units Area
Sub Council Ward
1
Atlantis Ext.12
500
Atlantis
7
29
2
Belhar Pentech Infill Project
347
Belhar
23
12
3
Bokmakierie Athlone Infill
170
Athlone
17
49
4
Delft The Hague
1400 Delft
23
13
5
Dido Valley
1029 Simonstown
19
61
6
Driftsands
2500 Driftsands
22
18
7
Drommedaris Social Housing 220
Brooklyn
1
4
Ottery
18
66
Elsies River
4
25
Development
8
Edward
Street:
Ottery 100
Sustainable Development
9
Eureka-Leonsdale CRU
375
10
Gugulethu Infill Project (Erf 1500 Gugulethu/Nyan 14
8448/MauMau)
38
ga
11
Happy Valley Phase 2
1350 Eerste River
21
14
12
Heideveld Duinefontein
700
11
44
13
Imizamo Yethu - Phase 2: 1100 Hout Bay
16
74
Heideveld
New Services CRU
14
Joe Slovo Park Infill Project
90
Milnerton
1
4
15
Kleinvlei Erf 901
66
Blackheath
21
17
16
Macassar
3968 Macassar
8
15
95
17
Mannenberg Infill: The Downs 700
Manneberg
11
46
18
Masiphumelele - Phase 4
350
Noordhoek
19
70
19
Morkel's Cottages
700
Rusthof, Strand 8
86
20
Morningstar (CRU)
150
Durbanville
7
103
21
Ocean View (Mountain View) 500
Ocean View
19
61
22
Ocean View Infill Project
500
Ocean View
19
61
23
Pelican Park Phase 1
3000 Pelican Park
18
67
24
Phumlani
109
Lotus River
18
67
25
Rondevlei
225
Rondevlei
18
67
26
Scottsdene
683
Scottsdene
2
6
27
Sercor Park Phase 2
119
Strand
8
100
28
Somerset West 10 ha site
390
Somerset West 8
83
29
Temperence Town: Gordons 70
Gordons Bay
8
100
Valhalla Park
5,15
30,31
7
32
Bay
30
Valhalla Park Infill
500
31
Witsand - Phase 2
1600 Atlantis
Programmes
National policy makes provision for a range of Housing Subsidy Programmes that the City can utilise in the
implementation of the above projects. All of these programmes are funded through the annual DORA allocation
from the Provincial Department of Human Settlements.
Range of National Housing Subsidy Programmes
Integrated Residential Development Programme (IRDP)
This programme‟s aim is to provide a minimum 40m² BNG house (a house built according to the BNG policy,
post September 2004) to families on the City‟s waiting list who earn a combined income of R0 – R 3 500.00 per
month, with the subsidy amount being provided by the National Department of Human Settlements.
Beneficiaries must be on the City‟s Housing Database and meet the requirements as prescribed in the National
Housing Code.
Consolidation Subsidy Programme
This programme is aimed at:

Facilitating improvements to a home where people already own a serviced stand without a top
structure.

Accessing a subsidy for Top Structure only (currently R 55 706).
People’s Housing Programme
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This is for households that wish to maximise their housing subsidy by facilitating the building of their homes
themselves. Beneficiaries can apply for subsidies via the project-linked instrument (where the subsidy is
granted to qualifying beneficiaries to enable them to acquire a house as part of an approved project), the
Consolidation instrument (the subsidy is granted to owners of a serviced site for the construction of a house),
or the Institutional subsidy (the subsidy that is available to institutions to enable them to create affordable
housing stock on a deed of sale, rental or rent-to-buy option).
Beneficiaries must comply with prescribed policy criteria and are exempted from contributing R2 479.00
towards the product cost.
Emergency Housing Programme
This is aimed at providing temporary assistance to victims of housing related disasters (such as fire and flood
damage), including the provision of Temporary Resettlement Areas (TRA). The programme also provides
funding for minimum services and shelter.
Upgrading of Informal Settlements Programme
The aim of this programme is to provide:

Basic services (water, standpipes and toilet facilities)

Permanent services

Houses to existing informal settlement areas wherever possible (including in situ upgrading).
Participants are less restricted than beneficiaries who qualify for individual subsidies. The programme is not
temporary in nature, instead focussing on permanent areas that need upgrading.
Social Housing Programme
The Social Housing Programme is focussed on higher density subsidised housing that is implemented,
managed and owned by independent accredited social housing institutions in designated restructuring zones
(for rental purposes). Households earning between R 3 000.00 and R 7 000.00 per month qualify.
The City has an agreement with three partners: Communicare, Cape Town Community Housing Company
(CTCHC), and Social Housing Development Company (SOHCO).
Institutional Housing Subsidy Programme
This mechanism targets housing institutions that provide tenure alternatives to immediate ownership (such as
rental, with the option to purchase after a certain period).
Community Residential Units
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This programme facilitates the building of new rental stock (including hostels) and the upgrade of existing
higher density stock. It caters for families who prefer rental housing and earn less than R 3 500.00 per month.
The City remains the owner of the rental units. This programme also includes the former Hostels
Redevelopment Programme.
Gap (Affordable) Housing
This caters for families earning between R 3 500.00 and R 10 000.00 per month, to be implemented by private
developers.
Objective 5ii – Implementation of structured programme for the upgrade of erven in informal
settlements
Informal Settlements Master Plan
The City has approved an informal settlement master plan framework (November 2007) that integrates informal
settlements with the broader urban fabric to overcome spatial, social and economic exclusion. The central
thrust of the plan is to provide essential services (i.e. water, sanitation, solid waste removal, electricity and,
where necessary, storm-water management) to settlements within the approved framework.
Essentially, it is phased and structured, with the emphasis on in situ improvements. It involves the community
extensively, and provides for basic services, permanent services and top structures. The City aims to upgrade
25% of Cape Town‟s existing informal settlements by 2012.
The following implementation approaches are to be followed according to the master plan:

Line departments are to roll out essential services to the required target levels in batches of 30
settlements every six months.

Opportunities for other services (such as facilities and operating services) are to be identified.

Settlements requiring de-densification, reconfiguration or relocation to improve service delivery efforts
is to be identified.

Settlements where in situ upgrade projects will be feasible are to be identified.

Settlements that are not suitable for in situ upgrade projects, but require total relocation (i.e. located
within a floodplain) are to be identified.

Land invasions are to be managed.

The master plan programme is to be completed by December 2012.
The master plan will run concurrently with the revised informal settlement upgrade approach:

A community-centred approach to service delivery is to be adopted.

A corporate services menu that is feasible in terms of implementation and operational criteria must be
determined.
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
Pilot sites for in situ implementation to test and evaluate the community-centred approach are to be
identified.

Community service needs must be determined.

Settlements are to be upgraded.

Approaches are to be refined.

Rollout to other feasible settlements is to be expanded.
Anti-Land Invasion Unit
The City‟s Anti-Land Invasion Units have been established to protect the City‟s vacant, unoccupied land from
illegal land invasion, and provides a 24/7 monitoring and protection service. Unfortunately, illegal land
invasions by persons who disregard the City‟s policies and development plans have become a negative feature
of urbanisation.
The City is of the strong view that one of the measures to proactively deal with urbanisation is to protect land
that has been identified for future housing development from those who are perceived to be „jumping the
queue‟. In this regard, the City would follow due legal process by obtaining the necessary court orders and the
unit would provide assistance to the sheriff where necessary.
The unit also fulfils an important task of preventing re-invasion of land that is prone to flooding, and from which
families have been relocated in the past. This is to prevent repeated relocations and unnecessary expenditure.
Informal Settlement Management
In order to improve service delivery to communities that live in the 230 Informal Settlements, the Directorate
has embarked on a strategy to provide a permanent presence in some of the bigger settlements. Staff
members are being stationed in permanent offices at these settlements to foster better relationships with
communities and to address issues that directly impact their lives in a manner that is both consultative and
equitable. Nineteen Informal Settlement Management offices have already been established in accordance
with the Directorate‟s urbanisation strategy to create liveable areas.
Temporary Relocation Areas (TRAs)
There is mounting pressure on the City to find short-term housing relief for poor families who find themselves in
emergency situations. These emergencies include people living on land prone to flooding, whose homes have
been destroyed by ravaging fires, and cases where the City has been cited as a respondent in private eviction
cases and has been ordered by the court to provide alternative accommodation. This has led to the City
establishing a TRA in Symphony Avenue in Delft, as well as investigating the legality of establishing more
TRAs across the City.
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b) Spatial mapping of initiatives and projects
Maps of projects per sub-council area
Strategic Focus Area 6
SAFETY AND SECURITY
One of the most important strategic challenges facing the City of Cape Town is fostering a safe and secure
environment. The current levels of crime and disorder in South Africa, and particularly in Cape Town, impact
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negatively on the quality of life of our residents – as well as the economy in terms of tourism and attracting
investment. It also poses a potential risk to our hosting a successful 2010 FIFA World Cup™ event. Improved
safety and security is crucial for shared and accelerated economic growth. If the City wants to win public and
investor confidence, it needs to be proactive in its efforts to address crime and disorder.
A closer look at Cape Town’s current Safety and Security status
The most recent official crime statistics, released in September 2009, represent a matter of serious concern. It
indicates an overall increase in the crime rate by 0.3% after consistent decreases over the past four years. Of
particular concern is the countrywide increase in serious crimes. The Institute of Security Studies (ISS) warns
that the overall increases in house robberies, business robberies and carjackings will intensify anxiety within
communities, as these are places people expect to be safe. In Cape Town, house robberies have increased by
12% and business robberies by 51%, whilst carjackings have decreased by 34%.
Statistics also highlight significant increases in drug-related crime (19%) and driving under the influence of
alcohol and drugs (16%) in Cape Town. (Statistics in these two categories are primarily generated with regard
to law enforcement action taken, and may therefore indicate increased police action and not necessarily higher
crime levels.) Alcohol and drug abuse nevertheless continues to damage and destroy the lives of countless
residents. Of particular concern is the explosive growth in the use of the highly popular and extremely addictive
drug Tik (methamphetamine), which continues to spread rapidly throughout all communities and is reaching
pandemic proportions in Cape Town. The use of Tik and the battle over market control is also believed to be
fuelling gang related violence – with Cape Town recently experienced a disturbing upsurge in gang related
murders. The Safety & Security Directorate has accordingly stepped up its alcohol and drug enforcement
operations with the establishment of a specialised unit and the launching of its highly successful Operation
Razor, which targets illegal liquor outlets and drug houses throughout the City.
There is also indication that human trafficking and prostitution, including child prostitution linked to organised
crime is on the rise as criminals prepare themselves for expected profit taking during the 2010 FIFA World
Cup™ event. The City‟s law enforcement departments have contributed significantly to safety planning
surrounding the event by actively taking part in all relevant work streams and trail runs together with the SAPS
and other relevant parties. These departments continue to form part of the integrated task teams established to
manage safety and security related issues in the periods leading up to, during, and after the 2010 FIFA World
Cup™ event.
High levels of disorder in the City persist, with antisocial behaviour such as loitering, drinking and public
drunkenness, aggressive begging and urinating being common occurrences. In addition, a culture of noncompliance on the City‟s roads continues to demand more traffic policing resources and innovative
enforcement strategies. The City has accordingly focused on expanding its by-law enforcement and traffic
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policing capability, and has managed to appoint much needed additional staff. These efforts have resulted in
significant success in areas such as illegal land invasion, metal theft , road safety and safety on beachesduring
the 2009/10 Festive Season. These initiatives also contribute to the prevention of capital flight from the CBD in
conjunction with the Cape Town Partnership and other relevant organisations.
The Civilian Oversight Committee continues to perform its oversight functions on the City‟s three law
enforcement departments with distinction and is, in fact, setting the National benchmark as far as the
functioning of such bodies are concerned.
However, crime and disorder are not the only safety-related threats to the city. Current levels of vulnerability to
fire, flooding and other natural or human-induced hazards, and the impact of these on communities and the
environment, are threatening to inhibit development and growth – and, in some cases, hard-won advances.
The City is therefore gearing itself for an efficient emergency response – with its Emergency Services
Department providing essential service delivery through Fire and Rescue, Disaster Risk Management
divisions, as well as a Public Emergency Communication Centre.
The number of medical and trauma related calls received during 2009 for the City‟s Fire and Rescue Service
has shown a marked increase from the previous year, whilst fire-related calls have shown a slight decrease
over the last four years. The frequency of fires in informal settlements continues to fluctuate, and although
there is no clear trend, the risk remains high. During the previous financial year, the City Emergency Services
maintained a high level of responsiveness and attended to a monthly average of 3700 incidents, of which 1250
were fires. Early 2009, in particular, saw massive wildfires in the Helderberg basin and the Devil‟s Peak area.
The Disaster Risk Management Centre maintained an optimum state of readiness during this period, and
undertook a comprehensive Disaster Risk Assessment for purposes of informing future plans.
The value of an effective Media Communications Strategy is ackowledged and much progress have been
made towards the improvement of the City‟s public image in terms of safety and security.
The main focus of the Safety & Security Directorate for the 2010/11 financial year will be ongoing training and
development in pusuit of hightened efficiency.
Operationally, the Directorate will endeavour to effectively
address incidents of disorder and minor crimes, as well as to maintain an optimum state of readiness for
managing disasters and disaster-related risk. This will contribute to the reduction of current levels of crime and
vulnerability, and therefore the improvement of safety and security across the City.
Establishing Public Needs
The City‟s 2009 Community Satisfaction Surey revealed specific public needs that should be adequately
addressed during the new financial year. These are:
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By-law enforcement
The 2009 CSS survey established that residents are satisfied with by-law enforcement, feedback during the
road shows revealed that residents wanted something done about general lawlessness. Current trends in law
enforcement indicate that those who commit small crimes are likely to commit larger crimes – hence the
importance of stepping up enforcement regarding smaller offences.
Drugs
Almost a quarter of Safety and Security C3 notifications relate to drugs, and there were many mentions of
drugs in the road show feedback sessions. Drugs are clearly an important issue, although complex and difficult
to address. There is a sense of community frustration, as in many incidences they know where the drugs are
being sold from.
Traffic enforcement
Many respondents indicated that they felt our roads are unsafe. Perceived threats included speeding in
residential areas, dangerous intersections, and traffic violations / reckless driving of mini bus taxis.
Visible policing
There were many calls for improved visible policing, with specific reference to taxis and drugs.
Vagrants
Residents identified vagrants and loitering (twice as many mentions as drugs in C3) as important issues in both
the C3 and Mayors Road show.
Problem areas
Problem areas include muggings, drugs, prostitution and environments around bottle stores and shebeens.
The community is aware and unhappy about these areas but feels largely powerless to tackle them.
Emergency services Call Centre and Disaster Management
The majority of disaster management‟s calls (approximately 60%) relate to fallen trees. Overall, though,
residents are positive about the emergency call centre, disaster management and their staff.
Fire
Residents have indicated that they are satified with Fire and Rescue‟s response to fire related emergencies
and their general level of service delivery.
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The feedback from residents of Cape Town is therefore telling the City that it needs to:
 Strengthen visible law enforcement – especially traffic enforcement.
 Strengthen by-law enforcement.
 Strengthen the implementation of the City‟s specialised units‟ plans.
 Expand and develop the City‟s Specialised Substance Abuse Enforcement Unit.
 Develop and communicate a process for public reporting and City action on houses and businesses where
illegal activity is taking place.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 6A: FOSTER A SAFE AND SECURE ENVIRONMENT
Objective 6i – Reduce levels of anti-social behaviour
Anti-social behaviour such as public drinking and drunkenness, riotous behaviour, urinating in public, gambling,
excessive noise, graffiti, drunken driving and abusive language, impacts negatively on the quality of life of
residents – contributing to growing fears of crime and creates an environment for lawlessness and crime to
flourish. City initiatives aimed at addressing disorder are:
Primary Operational Focus
Taking action against those committing minor crimes and by-law offences will once again be a central
theme throughout the City‟s Law Enforcement Plan for the 2010/11 financial year. This annual Plan sets out
the objectives and priorities of the Metro Police, Traffic, Law Enforcement and Specialised Services
Departments. In addition, the Plan will provide for a zero tolerance approach to be adopted towards traffic
offences. The Plan will also ensure that disorder is addressed head-on during the hosting of the 2010 FIFA
World Cup™ event.
The Metro Police Department‟s Annual Police Plan, which is a legislative requirement in terms of the SAPS
Act, forms an integral part of the City‟s overarching Law Enforcement Plan and will thus reflect the same
operational focus.
Strengthening of the City’s Law Enforcement Capacity
104
The City‟s Law Enforcement, Traffic and Metro Police Departmentsare primarily responsible for
addressing disorder in the City. The human resources of these Departments have, however, been
severely depleted since the establishment of the UniCity and remains a major challenge for the
Directorate. The importance of intervening at this level is recognised and it is therefore the City‟s
intention to expand and capacitate these departments as far as available resources permit. These
Departments will be strengthened by means of the following:
a) Training and Development
The Safety and Security Directorate‟s Training Academy is operational and the City will continue to equip
this facility to fulfil all the training needs of the Metro Police, Traffic and Law Enforcement Departments.
Full accreditation for the Academy will also be pursued. The following matters will be attended to in
respect of training and development:

Continue to build relationships with international partners and introduce specialised training
interventions.

Full implementation of the Directorate‟s Wellness and Fitness Policy

Building and improvement of training facilities.

Continuous capacity building of training staff.

Acquisition and maintenance of accreditation through prescribed Sector Education and Training
Authorities (SETAs).
b) Expansion of the Externally Funded Law Enforcement Scheme
The Exteranally Funded Law Enforcement Scheme, which enables the private sector to secure the
dedicated services of members of the City‟s enforcement departments for specific areas, was launched in
December 2008. This venture resulted in 18 additional Law Enforcement members being deployed with
outside funding and continues to invite interest from prospective sponsors. It is expected that the initiative
will grow steadily during the new financial year. The following matters will be addressed in support of the
Sponsored Law Enforcement Scheme during the 2010/11 financial years:

The establishment of an adequate support structure for the initiative

Exploring the feasibility of introducing the concept into the City‟s Traffic Services

Ensuring that all officials deployed in terms of this initiative are trained in the principles of Problem
Orientated Policing

Continuous growth of the City‟s law enforcement capacity.
Introduction of an Information Management System
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The Integrated Spatially Enabled Response Management System (ISERMS) technology project will enable
Metro Police, Traffic Services, By-law Enforcement and Emergency Services to combine their resources
and coordinate their activities more efficiently. It is essentially an information management system that will
optimise personnel and resource management. The overall objective of this initiative is to create an
integrated information management system that can effectively contribute to policing, crime prevention and
emergency services management. The new financial year will see the following:
 Full implementation of ISERMS in the Metro Police Department.
 Further rollout of ISERMS to Emergency Services, Traffic and Law Enforcement.
d) Additional Strategies for the Stengthening of the Law Enforcement Departments
Other initiatives that would contribute to capacity building within these Departments are:
 A review process of all City By-Laws, recommendations on additions where applicable and
commencement of drafting what is required
 A thorough review operational strategies and explore international best practices
 Implementing the Directorate‟s Reward and Incentives Policy and ensuring that achievements of staff
members as properly acknowleged.
 Setting high standards of discipline across the Directorate
 Integration of the Metro Police and 107 Call Centres in an effort to improve service delivery and reduce
overhead costs.
 Review of the CCTV Masterplan and implementation thereof.
Community Based Safety Initiatives
a) Neighbourhood Watch Assistance Project
The City‟s Neighbourhood Watch Assistance Project, a Mayoral initiative, was launched in August 2008. Its
main objective is strengthening the crime and disorder prevention capacity of local communities. The project
also has the following strategic objectives:
 Ensuring that all members of target Neighbourhood Watches are trained in the principles of Problem
Orientated Policing
 Ensuring self-sufficiency of the targeted Neighbourhood Watches
 That select Neighbourhood Watches achieve agreed upon goals.
During the 2010/11 financial years, at least six additional Neighbourhood Watches will benefit from this
initiative.
b) Local Safety Officer Project
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The Dutch Police concept of Neighbourhood Coordination provides the ideal implementation model for the
philosophy of Problem Orientated Policing. It provides for a specific police official to be designated as the
safety coordinator and problem solver in a particular area (neighbourhood). These officials are encouraged to
identify problems that lead to crime and disorder, work closely with communities and other stakeholders to
discover the root causes and ultimately to develop and implement solutions. Pilot programmes have been
launched in Muizenberg, Nyanga and Gordon‟s Bay with the deployment of three Local Safety Officer in these
areas. The initiative is conducted in cooperation with the Regional Police Amsterdam-Amstelland and the
University of Cape Town. During the 2010/11 financial year, the Safety & Security Directorate will continue to
refine this model and monitor progress.
Measuring Performance
Performance on this objective will be measured as part of the City‟s Annual Community Satisfaction Survey,
which will measure the public perception on the prevalence of anti-social behaviour and general disorder in the
City on a 5-point symmetric scale. The target is a score of 3 or above.
Objective 6ii – Reduce accident rate
The high frequency of vehicle accidents on Cape Town‟s roads claims countless lives and places a heavy
burden on available resources. Reducing the vehicle accident rate on the city‟s roads is therefore a key
objective of the Traffic Services and Metro Police Department.
The culture of non-compliance will be aggressively addressed, with a particular focus on identified high
frequency accident locations where the following actions will be taken:

Resources will continue to be directed towards national road safety strategies, including the Arrive Alive
campaign.

Partner agencies will be worked with closely to ensure a coordinated approach towards road casualty
reduction measures, such as education and enforcement. This will include pamphlet distribution to
pedestrians at high accident frequency locations.

A „no nonsense‟ approach will be adopted towards the general disregard for traffic rules and regulations,
especially by taxis. These include overloading and abnormal load transportation, as well as offences
relating to roadworthiness and licensing.

Speed enforcement will be expanded, especially in high accident locations and pedestrian risk areas.
The assignment of speed cameras is based on the most problematic accident locations, and will
contribute to overall accident reduction.

Increased visibility through peak hour patrols and regular roadblocks across the city to determine both
driver and vehicle fitness.

Continual assessment regarding the need for remarking road signs and tree trimming.

The successes of the Traffic Services “Ghost Unit” will continue to be built upon, with this Unit being
developed to full capacity.
Measuring Performance
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The percentage decrease/increase in the accident rate at five identified high accident frequency locations as
compared to the same period the previous year will be measured quarterly. The five locations identified for this
purpose are:

R300, Stock Road and AZ Berman Drive

N7 and Potsdam Road

Kuils River Freeway North and Stellenbosch Arterial

Stellenbosch Arterial and Belhar Drive

Prince George Drive, Wetton and Rosemead Avenue
OBJECTIVE 6iii – Increase in drug related arrests
According to the United Nations Office on Drugs and Crime, the use of the drug Tik (methamphetamine) has
taken on epidemic proportions in Cape Town. The drug is highly addictive, relatively cheap and easily
accessible. It is this combination of factors that has resulted in the explosive growth of Tik usage during recent
years. The Tik scourge has destroyed much-needed family ties, robbed people of their potential and fuels
criminality and gangsterism. In response to the threat posed by Tik, other drugs and alcohol, the City adopted
its “Operational Alcohol and Drug Strategy: 2007 - 2010”. This strategy aims to reduce the negative impacts
and burden of alcohol and illicit drug use in the City and on its residents, businesses and visitors. It includes
programmes aimed at prevention, treatment and enforcement. The Safety & Security Directorate is primarily
responsible for ensuring that effective enforcement action is taken in targeting suspected drug dealers. This will
be achieved through:
Special Operations Targeting Drug Dealers
The Metro Police Department will continue clamping down on suspected drug dealers through its special
operations. The new financial year will see this Department building on successes achieved with Operations
“Razor” and “Choke”, which netted good results in terms of combating drug related crime. Operations will be
intelligence-driven to ensure optimum results, as well as integrated so as to ensure the participation of all
relevant stakeholders.
Expansion and development of the Specialised Substance Abuse Enforcement Unit
The Substance Abuse Enforcement Unit is a small but highly specialised unit established towards the end
of 2008 to give effect to law enforcement objectives contained in the City‟s Drug and Alcohol Combating
Strategy. So far the Unit is achieving excellent results and additional City investment in this initiative will no
doubt yield significant returns. It is the intention to expand this Unit significantly during the 2010/11 financial
year. The Safety and Security Directorate is also in the process of establishing a Narcotics Detection Dog
capacity, which will greatly enhance the Metro Police‟s ability to clamp down on suspected drug dens. This
capacity will be developed to full operational status.
Cooperation with other Agencies
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Effective cooperation with other law enforcement agencies is crucial in combating drug dealing and the
Directorate will continue to strengthen its relationship with the SAPS and relevant agencies in other countries.
Measuring Performance
The percentage increase/decrease in the number of arrests for drug related crimes (dealing and possession of
narcotics) effected by the Metro Police Department as compared to the same period the previous year will be
measured quarterly.
Objective 6iv – Reduction of disaster risk through maintaining optimum preparedness
This objective involves the preparation and execution of the City‟s Disaster Risk Management Plan, as well as
the effective co-ordination and alignment of processes and regular reviews. The Plan is a legislative
requirement in terms of the Disaster Management Act which also requires that it should form an integral part on
the City‟s IDP. The Disaster Risk Management Centre (DRMC) aims to identify, prevent and reduce the
occurrence of disasters, and soften the impact of those that cannot be prevented. During major incidents and
disasters, the DRMC performs a coordination role, ensuring that multiple emergency and essential services
work in an integrated and efficient manner. After major events, it also ensures that communities and victims are
assisted in recovering from the particular crises.
This objective will be achieved by following a process of continuous reviewing of the 35 different Disaster Risk
Management Contingency Plans, which are all elements of the City‟s Disaster Risk Management Plan, to
ensure that these are regularly updated and aligned with current requirements to be ready for immediate
implementation should a particular situation arises. These include contingency plans on:

Nuclear Power Station Emergency

Coastal Oil Spill

Aircraft Incident

Flooding & Storms

Sea Surge/Tsunami/Tidal Wave

Epidemic/Major Infectious Disease Outbreak, etc.
Measuring Performance
Performance on this objective will be measured quarterly in terms of the percentage of plans that have been
reviewed and are ready for immediate implementation.
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Strategic Focus Area 7
HEALTH, SOCIAL AND COMMUNITY DEVELOPMENT
Cape Town, as a city, is a reflection of the broader South African society, with sharp contrasts between,
amongst others, the rich and poor, the skilled and unskilled, and the healthy and ill. It is also characterised by
many vulnerable groups who find themselves on the margins of society, such as street people, youths, women,
the disabled and those affected by extreme poverty.
When social and human development is poor, the social fabric of society begins to disintegrate. In large parts
of Cape Town, this has resulted in a high incidence of drug and alcohol abuse, gang affiliation, and crime
against people and property. Adding to these issues are the growing challenges posed by HIV/Aids, sexually
transmitted infections (STIs) and tuberculosis (TB).
That said, in many instances, communities are taking proactive steps to improve their levels of functionality and
become self-sustaining - and these initiatives require the support of the City to ensure that the momentum of
positive change is maintained and that the lessons learnt from their experiences can be used by other
communities to transform themselves.
For many children in Cape Town, life is characterised by hunger and malnutrition, insecurity, trauma, instability,
family breakdown and dislocation of communities. The early years are of vital importance in the development of
the young child. During these years the foundation is laid for the child‟s development and deprivations have
lasting negative effects. Recognition of the importance of these early years is vital to early childhood
development.
Against this backdrop, investment in health, social and community development is a critical cornerstone in
service delivery, and in the sustainable economic development of Cape Town. However, it is also true that
such investment cannot be the responsibility of a single government or non-government entity. The most
marginalised communities must benefit. The City will therefore continue to facilitate programmes for
sustainable health, social and community development.
A closer look at Cape Town’s current health and social development status
A Service Level Agreement (SLA) with the Provincial Health Department ensures that the City will continue to
deliver comprehensive Primary Health Care (PHC) services across its eight Health Sub-Districts.
Infant Mortality
Cape Town‟s current infant mortality rate is 19,78 per 1000 children under the age of 1 year. This figure has
been decreasing gradually over the last six years, and is now less than half the national rate. This encouraging
trend is a good overall measure of the state of health in the City and is likely a result of increased education
and awareness as well as improved healthcare service delivery for expectant mothers and their infant children.
To maintain a decrease in the infant mortality rate, the City faces a number of challenges going forward. These
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include the provision of adequate immunisation coverage, increasing the attendance of under 18 female clients
at clinics, and conducting health and hygiene interventions in informal settlements.
Tuberculosis and HIV/Aids
Cape Town‟s ante-natal HIV/Aids prevalence rate, as well as the rate of increase of TB cases, remains the
lowest of all South African metros. However the HIV/Aids prevalence rate for the city has increased, particularly
within the poorer areas. Reducing the spread and impact of HIV/Aids/STIs and TB has become a priority for
the City over the last five years.
A multi-sectoral strategy to contain, reduce and treat these diseases is in place, and seeks to address the
underlying causes of their continued spread. The programme includes facilitating Multi-Sectoral Action Teams
within the eight Health Sub-Districts for integrated local stakeholder participation and planning. The process is
led by a Coordinating Committee from within the City, which aims to mainstream HIV/Aids/STIs and TB issues
for improved mitigation. The Province and City will continue to work together to deliver a public Anti-Retroviral
Treatment (ART) programme during the course of 2010 / 2011. Broader public awareness programmes for
HIV/Aids/STIs will continue through the citywide "Get Tested" campaign, but changing sexual behavior remains
a challenge, and targeted prevention projects will be implemented in high-risk areas. Particular focus will
continue to fall on youth and safer sex practices including Voluntary Counseling and Testing (VCT) and
condom distribution.
Substance Abuse
With respect to Substance Abuse, the City‟s Draft Operational Alcohol and Drug Strategy: 2007-2010 aims to
reduce drug-related crime, limit bad behaviour and accidents, improve access to treatment and information,
enhance reporting mechanisms, and increase intergovernmental cooperation.
Air and Water Quality
Cape Town‟s Air Quality Management Plan (AQMP) is aimed at helping Cape Town achieve and maintain the
status as the African City with the cleanest air. A number of working groups currently inform this plan.
The quality of potable water supplied by the City‟s Water Services is continuously monitored and any problems
identified are resolved so that the public can be assured of clean, healthy drinking water. The same quality
controls are applied to water used for recreational purposes, such as vleis, rivers and coastal water, all of
which are also monitored. Programmes are regularly implemented to improve and/or maintain high water
quality, thereby ensuring public health
Food control
All food premises are visited regularly by environmental health practitioners as part of the City‟s optimal
hygiene control programme. All food premises require a certificate of acceptability (COA), which certifies their
compliance with the relevant hygiene and structural requirements. Food quality is monitored by routine testing
of food products in the City‟s laboratory, while chemical analysis is performed at the State Forensic Chemistry
Laboratory.
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Health surveillance of premises
Environmental
Health
regularly
visits
and
inspects
targeted
premises,
including
accommodation
establishments, hairdressers and barbers, tattoo and body piercing shops, childcare facilities, and restaurants
and food outlets. Notices to rectify problems or health nuisances are served on owners.
Waste management
The Solid Waste Department fulfils the function of waste management by collecting waste on a weekly basis
throughout the city. Environmental Health monitors the quality of this service. Clean-up campaigns and
community awareness programmes, particularly in informal settlements, are developed to assist the Solid
Waste Department in improving waste management and reducing waste. The monitoring, management and
disposal of medical waste is a key programme.
Surveillance and prevention of communicable diseases
The Health Directorate collates Cape Town‟s health information and statistics on births, causes of death, and
notifiable diseases. Communicable disease outbreaks are followed up, and intervention programmes are
implemented to restrict the spread of disease and prevent further outbreaks. These include health and hygiene
projects in informal settlements.
Disposal of the dead
The City ensures the safe disposal of bodies (burial or cremation) and supervises the exhumation and reburial
of bodies.
Health Clinics
Cape Town currently has the highest number of accredited clinics in the country (22). Resident‟s perceptions of
clinics have improved dramatically since 2008.
Sport and Recreation
Cape Town‟s community-based sport and recreation programmes and facilities remain an integral part of the
City‟s social fabric. Cape Town is competitively placed to host events such as the Pick „n Pay/Argus Cycle
Tour, the Volvo Ocean Yacht Race and the Jive Big Walk, which collectively contribute towards social cohesion
and economic growth. Current resource and budgetary constraints mean that sport and recreation
development programmes and events will increasingly be dependent on partnerships with communities, NGOs,
the corporate sector, various tiers of government and other stakeholders.
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Children and Youth Development
In terms of Early Childhood Development (ECD), the Cape Town is still not adequately meeting the
requirements of the National Children‟s Act as there are an inadequate number of safe and conducive
environments for children across the city. In order to improve the situation, Child Care and Early Childhood
Development facilities need to be assisted to comply with the Act, while partnerships with the Province and
NGOs within the sector should be formed.
More fundamentally, ECD district plans need to be formulated, as well as action-based programmes and
projects. Overall, the City remains committed to ECD and is working towards specific goals to increase the
positive impact on children‟s lives. These aims are ambitious and require the generation of new sources of
funds and other resources, as well as the establishment of partnerships, in the pursuit of making the plight of
the city‟s children a priority.
Establishing Public Needs
Public Swimming pools
Various data sources indicate that swimming pools remain very popular and are well utilised community
facilities. Requests have been made by the public for the construction of more swimming pools.
Sports fields and recreation areas
Responses indicate that residents feel they have good access to sports and recreation facilities and perceive
staff at these areas to be helpful. They do, however, feel that the facilities could be improved and better
maintained. There were also calls for more facilities for youth, gangster rehabilitation, and crime prevention.
However it may be necessary to ensure that a need for these really does exist before acting on these requests.
Facilities
Responses showed that residents were sometimes frustrated by the fact that City facilities like libraries and
community centres were closed during office hours.
Environmental health
59% of health queries on the City‟s C3 system relate to environmental health and bush clearing. There is the
belief that overgrown erven result in criminal activities, and calls for clearing are often the result of safety and
security concerns.
This valuable feedback from the residents of Cape Town has identified a number of key issues that the City
needs to address in 2010/11. As such, the City will:

Continue to reduce the spread and impact of HIV/Aids/STIs and TB through a multi-sectoral programme;

Continue and ramp up programmes to reduce the negative impacts and burden of alcohol and illicit drug
use in the city;
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
Complete community facilities research to inform a comprehensive community facilities plan based in
community needs;

Establish a proactive education programme to address the challenges around the provision of facilities in
certain communities; and

Work in partnership with communities and other stakeholders to maintain parks.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
KEY CITY FOCUS AREA 7A: FACILITATE THE DEVELOPMENT OF A HEALTHY AND SOCIALLY INCLUSIVE SOCIETY
Provide an effective an Early Childhood Development Programme, which holistically addresses the
needs of children
The needs of children are not being met in a number of suburbs across the city. There is a need for the
following to improve the current situation:

Assisting child care facilities to become compliant and to strive towards achieving the minimum standards
as stipulated in the National guidelines and regulations of the Children‟s Act

A mechanism to guide and assist ECD centres throughout metropolitan area.

Improving City processes related to the registration of ECD facilities by initiating a working environment
that assists the process.

The establishment of Centres of Excellence in partnership with PGWC and NGOs in the ECD sector.

A developmental plan for ECD in each district

Programmes and projects with clear deliverables.
In order to achieve its early childhood development goals, the City has identified the following four priority
areas:
Increasing the Impact and Effectiveness of working with children
The City will invest in building the skills and capacity of staff to facilitate provision of quality ECD services and
continue to ensure that programmes prioritise the most vulnerable and marginalised children and communities
through the integration of a rights-based approach. The development of effective monitoring and evaluation
systems is a high priority.
Making Early Childhood Development a priority
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The City of Cape Town will invest in early childhood development facilities, programmes and services in line
with its belief in the importance of such services and programmes. This will be a priority area for the City in line
with its desire to make Cape Town a truly child-friendly city.
Securing Resources and Ensuring Cost Effectiveness
In order to achieve its early childhood development aim, the City will work with the non-profit sector and
communities to develop, fund and implement early childhood development programmes.
Enhancing Innovation and Learning
The City of Cape Town is committed to supporting its staff and communities to work creatively and to share
learning. To support this, the necessary systems will be developed to encourage, capture, institutionalise and
share knowledge.
The realisation of these priorities will be achieved through viable partnerships between the City and:

Communities and Service Providers

Provincial and National Government

Non-Profit and Faith-Based Sectors

The Business Sector through Corporate Social investment programmes
Objective 7i - Educate parents, caregivers and ECD forums through targeted development support
groups
Create public awareness about the plight of children and pieces of legislation to protect them
The protection and promotion of the rights of children is in line with Section 28 of the Constitution of the
Republic of South Africa and the UN Convention on the Rights of the Child. The City will launch an awareness
drive focused on the rights of children and, in particular, the need for early detection of child abuse.
Educate parents and care givers about issues which impact on children
Issues like the importance of wellness and nutrition of children, effective parenting, HIV/Aids, and alcohol foetal
syndrome need to be addressed in a holistic manner as they impact on the lives of children, their families and
the communities in which they live. The City makes specially designed programmes available to ECD forums to
build awareness of the importance of these issues and the impact they have on the quality of life of children. In
the coming year, the City will be reaching 10 ECD forums through their awareness programmes.
Capacitate ECD Forums, Principles and ECD Governing Bodies to effectively manage and run ECD
Centres and organisations
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Ten ECD Forums will receive accredited and evidence-based capacity building programs, supported by
mentoring in the areas of report writing and minute taking skills, meeting procedures, budgets and financial
management, strategic planning, stakeholder management and basic communication skills, networking, HR,
and labour relations.
Promotion of sustainable communities and healthy lifestyles through the promotion of communitybased sport and recreation programmes
Community development programmes are held in many of the City‟s facilities, including its sports fields,
community centres, multi-purpose centres, libraries and community halls. These are supplemented by the use
of non-Council-owned facilities where necessary, and often involve collaboration and partnerships with
churches, community organisations, NGOs and Government departments.
Objective 7ii - Facilitate strategic sporting partnerships
The hosting of events is a significant part of the City of Cape Town‟s competitiveness strategy as these have
an important role in enhancing cultural and social cohesion in communities, supporting urban rejuvenation and
promoting economic growth. The City has partnered with numerous national and international events such as
the Pick „n Pay/Argus Cycle Tour, the Volvo Ocean Yacht Race and the Jive Big Walk.
Given that the City does not have the resources to provide significant financial support for events, development
programmes in the areas of sport and recreation will become increasingly dependent on effective partnerships
with NGOs and the communities themselves.
The City does however provide events with support in the following areas:

Provision of city services such as traffic, waste management, disaster management

Guidance with respect to event permit procedures

Ensuring that event organisers comply with relevant legislation and regulations

Support with event hospitality

Limited equipment and financial support

The bidding process.
Programmes and projects
During the 2010/11 financial year the City aims to implement 25 strategic events and partnerships. In 2011/12,
it is envisaged that this number will increase to 30.
Provide effective environmental health services, including air quality management and pollution
control programmes (including noise pollution)
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Environmental Health covers a wide range of programmes and projects to protect public health in Cape Town,
with a particular emphasis on health promotion. The City has a statutory responsibility to deliver these services
in accordance with the National Health Act (No. 61 of 2003).
The Constitution dictates that local government must promote a safe and healthy environment. As such, all the
City‟s pollution control programmes and projects are aimed at helping to ensure a healthy, pollution-free
environment. A noise policy is also being developed and programmes are being instituted to limit noise
pollution, especially in the CBD.
Objective 7iii - Reduce air pollution
The Air Quality Management Plan (AQMP) has been drawn up with a view towards ensuring that clean air is
achieved and maintained in the city over the next 10 to 20 years. Ultimately, the vision of the AQMP is to turn
Cape Town into the African city with the cleanest air. In an effort to realise this vision, the plan seeks to reduce
the adverse health effects of poor air quality on the citizens of Cape Town, especially during „brown haze‟
episodes. Currently, the development and implementation of the plan is informed by the findings of the
following five working groups:

The Air Quality Monitoring and Standards Working Group

The Health Working Group

The Public Awareness and Education Working Group

The Khayelitsha Air Pollution Strategy (KAPS) Working Group

The Transport Planning and Vehicle emissions Working Group.
The City has also reviewed its Air Quality By-Law and the revised draft is currently in the public domain for
comment.
Provide effective primary healthcare (PHC) services in collaboration with Province, focusing on
maternal and child healthcare, and HIV/Aids/STIs and TB
Guided by a signed Service Level Agreement (SLA), the City will continue to deliver clinic services in
partnership with the Provincial Health Department at its 82 clinics, four Community Health Centres (CHCs), 24
satellite clinics and four mobile clinics. A comprehensive Primary Health Care (PHC) service is delivered at the
CHCs, and a nurse-based maternal and child health service is available at the clinics. This includes preventive
and promotional programmes (e.g. immunisations, family planning and cervical smears) as well as the
treatment of sick children under the age of 13.
Objective 7iv - Reduction of the infant mortality rate
For the sixth year in succession, the City saw a drop in the infant mortality rate in 2009. This indicator is a good
overall measure of the state of health in the City and the current infant mortality rate of 19,78 compares very
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favourably with the national rate of more than 50. This can be attributed to ongoing efforts to improve education
and enhance healthcare service delivery, both for expectant mothers and their infant children.
Going forward, challenges for the City in terms of further reducing its infant mortality rate include:

Ensuring adequate immunization coverage;

Increasing the number of under 18 female clients attending family planning clinics; and

Conducting Health and Hygiene interventions in informal settlements.
HIV/Aids/STIs and TB
Over the last five years, the City has had the foresight to prioritise the fight against HIV/Aids, STIs, and TB and
address the underlying causes of their continued spread. Recognising that these epidemics jeopardise the
Cape Town‟s key development priorities, the City is implementing a concerted multi-sectoral strategy to
contain, reduce and treat the diseases. The programme includes:

Eight sub-District Multi-Sectoral Action Teams (MSATs), which bring together all the local stakeholders
involved in HIV/Aids and TB - including NGOs, CBOs, local business, faith-based organisations, local
officials, councillors and sub-Council managers - to develop and drive a coordinated plan that addresses
local needs and challenges.

The City HIV/Aids and TB Coordinating Committee, chaired by the Mayoral Committee Member for Health,
which coordinates the multi-sectoral response. The committee brings together, on a quarterly basis,
representatives of political parties, relevant Directorates and the Sub-District MSATs with the aim of driving
the mainstreaming of HIV, Aids and TB.
In conjunction with the Province, the City will continue to deliver an effective public Anti-Retroviral Treatment
(ART) programme, which will include an innovative Council-funded ART programme for City staff and their
dependants (not covered by medical aid).
The citywide "Get Tested" campaign will continue in the coming year, with outreaches at shopping malls and
other public places to encourage citizens to know their HIV status. Daily HIV testing is done free of charge at
all City health facilities.
Objective 7v - Slow the rate of increase of the City’s TB incidence
In 2008/09. the rate of increase of TB was slowed from a target of 1 040 per 100 000 to an actual of 877. The
City‟s TB New Smear positive Cure Rate has shown a steady improvement from 70% in 2005 to 78% in 2008.
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This means that the City's TB New Smear Positive Cure Rate is now the best for any metropolitan area in the
country.
Going forward challenges include:

Ensuring the improvement in managing TB

Determining how many TB clients are also infected with HIV (Used to monitor the interrelationship between
TB and HIV)

Maintaining and improving the TB Control Programme
Objective 7vi - Slow the rate of increase of the City’s ante-natal HIV prevalence
Cape Town‟s ante-natal HIV/Aids prevalence rate is still the lowest in South Africa. It has, however, increased
over the past year, especially in the poorer sections of the city. Changing sexual behaviour remains difficult to
achieve. Additional targeted prevention projects are to be implemented in high-risk areas and will focus on
educating and encouraging safer sex practices, particularly amongst the youth. Challenges to this objective
include:

Ensuring an ongoing and expanding Voluntary Counseling and Testing (VCT) Programme.

Ensuring that there is an adequate supply and distribution of condoms.
Addressing Substance Abuse
The City‟s response to alcohol and drug abuse is outlined in its “Draft Operational Alcohol and Drug Strategy:
2007 – 2010.” This strategy aims to reduce the negative impacts and financial and social burdens of alcohol
and illicit drug use in the city. It has five primary objectives:

Reduce drug and alcohol related crime and antisocial behaviour, and minimise alcohol and other drug
(AOD) related accidents and injuries.

Improve access to a range of evidence based treatment and prevention interventions to minimise AOD
harm among the citizens of Cape Town. As part of this objective:

a Substance Abuse Coordinator was appointed on 1 July 2009.

the City opened an outpatient drug treatment unit at Tafelsig Community Health Centre in Mitchell‟s
Plain on 26th June 2008. Subsequently a second centre was opened in December 2008 at Table View
Clinic and a third at Delft South Clinic in November 2009. A fourth centre is being planned for
Khayelitsha.

A number of clinic staff have been trained in brief intervention, and free drug testing is available at 8
clinics.

Improve access to information on AOD dangers for city communities and advise them on how they can
respond. To this end:

The City and its partners are developing credible information and awareness materials and Q&A flyers
that are culturally appropriate and accessible via the City‟s website, through libraries, the media and
public awareness meetings.
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
Narcotics Anonymous books are available in all City libraries.

A free 0800 Helpline has been established with dedicated and trained operators who are able to refer
citizens to available resources. The Call Centre is the only free dedicated help line in the country and
receives calls from all over South Africa.

Improve reporting on local interventions and their effectiveness.

Cooperate with other spheres of government to enhanced responses. This includes:

The establishment of the Cape Town Alcohol and Drug Action Committee, which held its inaugural
meeting on 21 May 2009. This is the strategic operational committee that will ensure that the City‟s
plans are carried out.

Regular updating of the databases of AOD services within the City of Cape Town.
Strategic Focus Area 8
GOOD GOVERNANCE AND REGULATORY REFORM
Governance is the set of structures, processes and policies, used to direct, guide, administer and control an
organisation, in achieving its objectives. Key elements of good governance principles relate to honesty,
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integrity, openness, trust, performance orientation, responsibility and accountability, mutual respect, and
commitment.
The 2009 King Report on Governance for South Africa, and the King Code of Governance Principles 2009 together referred to as King III - offers guidance on good governance principles and practices. It emphasises
the importance of an inclusive approach to governance as such inclusivity of stakeholders is essential to
achieving sustainability and the legitimate interests and expectations of stakeholders must be taken into
account in decision making and strategy.
The philosophy of King III revolves around leadership, sustainability and corporate citizenship:

Leadership is characterised by the ethical values of responsibility, accountability, fairness and
transparency and based on moral duties that find expression in the concept of Ubuntu. Responsible
leaders direct organisation strategies and operations with a view to achieving sustainable economic, social
and environmental performance.

Sustainability requires that the organisation conducts its operations in a manner that meets existing needs
without compromising the ability of future generations to meet their needs. It means having regard to the
impact that operations have on the economic life of the community in which it operates. Sustainability
includes environmental, social and governance issues.

Corporate citizenship implies an ethical relationship of responsibility between the organisation and the
society in which it operates. As a responsible corporate citizen, the organisation should protect, enhance
and invest in the wellbeing of the economy, society and the natural environment.
Effective governance is recognized by the Cty of Cape Town as a critical factor in achieving sustainable
success, anticipating needs and goals, and assigning accountability. The City is, therefore, committed to
upholding the highest standards of governance and ethical conduct.
In its role as Cape Town‟s primary governing body, the City of Cape Town provides oversight of the city's
affairs and constantly strives to improve and build on the already strong governance practices. Hence, the City
of Cape Town has adopted King III as the basis for good governance practices.
The City‟s processes, structures and policies, that help ensure compliance with laws and regulations and
provide clear lines of sight for decision-making and accountability, include:
1. Ethical leadership and corporate citizenship
2. Council and Councilors
3. Audit Committee
4. Internal Audit
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5. Risk Management
6. Information Technology Governance
7. Compliance with Laws, Regulations, Rules, Codes, Policies and Standards
8. Governing Stakeholder Relationships
9. Integrated Reporting and Disclosure
Human resources
An important component for the development of effective and efficient human resources is the Organisational
Development and Training (OD&T) plan which seeks to enhance service delivery with efficient institutional
arrangements through the following three strategies:

Development and implementation of institutional frameworks and business systems;

Implementation of human capital management systems and processes to enhance staff alignment with
business needs and improve staff morale and performance.

Implementation of efficiency gains interventions through business improvement initiatives.
Financial Management
The management of key financial and governance areas will be achieved by focusing on the following:

Ensuring a high level of financial management in order to contribute toward an unqualified audit
opinion.

Ensuring a high standard of financial management by reducing the amount of money owed to the City.

Maintaining an unqualified audit for the City by resolving audit findings as per follow up audits
performed.

Maintaining a good credit rating.
Spending budgets to maximise delivery
City of Cape Town‟s annual budget is made up of two parts: an operating budget and a capital budget. The
capital budget is set aside for spending on infrastructure and services such as roads, water, and electricity and
the many other utilities and services that Cape Town needs in order to function, grow, and offer opportunities
for its residents. The budget is based on the income the City expects to derive from rates, service charges and
grants and subsidies. During the 2008/09 financial year, the City managed to spend 96, 8% of its capital
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budget and 97,3% of its operating budget - which is set aside for salaries, operating costs, purchases, and
assistance for the poor, such as free water and sanitation.
General Governance Issues
A closer look at Cape Town’s governance and compliance status
The City of Cape Town aims to ensure that Cape Town is a healthy and socially inclusive society. Over the last
year the City received its sixth consecutive unqualified annual audit from the Auditor-General. The City's credit
rating was maintained, meaning that the business world perceives Cape Town to be financially well managed.
97% of City's capital and operating budget was spent and 95% of revenue collected as a percentage of the
billed amount.
City’s Risk Management Priorities
Risks were identified around a range of internal operation areas and the City has a Strategic Risk Register and
various plans in place to manage financial, human capital, integrity, management, and non-delivery risks
across the City‟s various strategic focus areas.
Establishing Public Needs
The second annual City of Cape Town community satisfaction survey of residents and businesses in Cape
Town was conducted between November 2008 and February 2009. The results of the survey showed that the
perceptions by residents of Cape Town regarding the performance of City of Cape Town have improved. 54%
of residents now say that the overall performance of the City is good, very good, or excellent. This is up from
last year‟s score of 50%.
The responses from businesses in Cape Town have also shown improvement, with 77% of those surveyed
saying that the overall performance of the City is good, very good or excellent. This is up from last year‟s 69%.
In fulfilling its role as a public service provider 75% of businesses rated the City as good, very good or
excellent, an increase from the 70% of the previous year.
Communication
Interacting with the City is an important issue for residents. Survey respondents highlighted the importance of
public meetings as a means of communication. Community newspapers and rates bills were highlighted as
means to effectively communicate with residents.
A range of communication issues accounted for some 3% of all IDP comment received. Residents called for
the launch of a sms service, a single number for all City matters, a more effective and cost effective call
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centre, more streamlined correspondence processes, more timeous notice of meetings, and simplified rates
accounts.
The graph below illustrates the channels along which information flows from the City to residents. The top row
of bars represents the communication channels currently utilised. The numbers below that indicate the
preferences of residents in terms of communication channels. As can be seen, for the most part resident‟s
preferences mirror the current communication channels, however, the City uses public meetings as a
communication channel less often than residents would like.
Communicating with the city - customer satisfaction survey 2009
Communication and awareness
2008
2009
1
2
4
5
6
10 7
9 7
5
6
4 2
7
4
None of the above
12
Visiting MPCCs
15 14
The City of Cape Town‟s
website
15 19
Calling a municipal call centre
19 21
Reading a magazine
29
Reading The City News
21
Visiting a municipal office
39
26
Reading pamphlets
Reading a community
newspaper
Preferred
channels of
communication
39
Attending a meeting in your
local area
27
%
Reading a newspaper other
than a community newspaper
69
Listening to a radio station
57
Word of mouth
Current
channels of
communication
Significant change
from 2007/8
3
More than half generally find out about what the municipality is doing through reading
a community newspaper which is followed by about a quarter who find out through
reading pamphlets or through word of mouth
To a large extent the preference for the channel of communication closely mirrors that
of the current media used to find out about municipal activity
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Current and preferred communication from the City of
Cape Town
(Source: CSS, 2009)
As a result of this feedback from residents, the City of Cape Town will pay particular attention to the following in
2010/11:

Ensure the City‟s internal staff systems and processes are as efficient and effective as possible.

Support and expand business improvement and staff development to support enhanced customer service.

Continue to manage the City‟s finances prudently.

Communicate regularly and consistently, via effective communication channels that are suited to
respective audiences.
FOCUS AREAS AND OBJECTIVES
The way forward in 2010/11
STRATEGIC FOCUS AREA 8A: ENSURE ENHANCED SERVICE DELIVERY WITH EFFICIENT INSTITUTIONAL ARRANGEMENTS
Objective 8i - Increase levels of employee morale and Organisational Efficiency
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The OD&T plan provides the direction for implementing corporate objective 8.1 by identifying and developing
internal transformation and institutional strategies and programmes that will enable the City to achieve its
strategic goals and objectives. The focus of the City‟s transformation plan is on changing the institutional
arrangements, processes, managerial practices and culture. With the ultimate aim of improving service
delivery. This will be achieved by focusing on the following areas:

Improving service delivery standards by aligning staff delivery with business strategies, implementing
business improvement initiatives, and expanding the use of technology to improve customer access and
improve business processes.

Shifting the organisation to a high-performance culture based on best practice benchmarking and through
the alignment of people strategies with business strategies.

Measuring the improvement in service delivery and staff productivity against national and international
standards.

Identifying and prioritising key projects that will have the greatest impact on service delivery.

Enhancing service delivery through the development and implementation of institutional frameworks and
business systems, including alternative service delivery mechanisms.
Strategy 1: Development and implementation of institutional frameworks and business systems to
support the City’s development and service delivery strategies and objectives
The OD&T plan includes the following three programmes, through which this objective will be achieved:

Operations Integration Model (OIM) Framework – which will include the eight-district model, integrated
service centres, customer relations management (CRM) roll-out and sub-council participatory mechanisms
and Executive Management Team (EMT) sub-committees.

Information and Communications Technology (ICT) Programme - which will enable the operations
integration model and improve the efficiency of the administration; improve services to citizens and
business; and enable social and economic development.

Organisational Development and Design Framework - to enable the City to continually adapt to internal
and external changes.
Through these programmes, the City aims to:
Implement the eight-district model, including the eight service centres and the related call centre.

Improve functionality of the corporate works management process.

Implement the Information & Communication Technology strategy.

Install its broadband fibre optic network.

Develop an integrated spatial information system.
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
Develop and implement the support services model, including delivery of standard operating procedures
for all support functions.

Transform the IDP to a strategic driver.
Strategy 2: Implementation of human capital management systems and processes to enhance staff
alignment to business needs and improve staff morale and performance.
The OD&T plan contains the following two programmes through which this objective will be pursued. These
projects are guided by the current Human Resources Strategy for the City.

The Human Capital Management Programme - which will deliver competency frameworks across all job
families and personal development plans (PDPs) for all employees through a skills audit. The Competency
Frameworks and the PDPs will provide line managers with invaluable tools to manage their human
resources. The frameworks contain the actual description of the job requirements while the PDPs identify
the gap between the individual employee and the job requirements, as well as a plan to close the gap.

The e-HR programme - which will deliver an e-HR system for talent management, time management, and
occupational health and safety (OHS), as well as the development and implementation of human resource
business indicators. The e-HR programme will provide line managers with integrated electronic tools to
manage all the individual employee information as well as provide smooth processing of information and
HR actions. There will also be the facility to track HR business processes, so as to easily identify
bottlenecks and accountability.
Human resources strategy
The City‟s most valuable asset, when optimally utilised, motivated and developed, is its staff. Staff costs are
also its single biggest budget item. The City‟s human resource strategy is aimed at delivering „the right people
with the right skills at the right place and the right time‟. It ensures that staff are correctly aligned with business
needs and this, in turn, improves service delivery within budget parameters. It achieves this by:

identifying the top four areas of intervention that will have the greatest impact on staff loyalty and
productivity, and addressing these areas across the organisation;
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
improving the efficiency and effectiveness of core human resource business processes that affect human
resources management;

increasing investment in staff development; and

identifying and monitoring key measurements that will support the above outcomes
The main aim of the strategy is to achieve an improvement in the staff loyalty index as measured every 24
months through the culture/climate survey; and an improvement in staff productivity as measured by a range of
productivity measures - including the percentage loss of skills and staff availability (absenteeism).
Human resources budget and staff numbers
Annually, the City will consider whether to re-prioritise a percentage of the staffing budget to fund growth
services, and shrink others. This must, however, be based on proper benchmarking of each department, input
on IDP priorities, and departmental attrition. Directorates will base their proposals on their individual staffing
strategies.
Strategy 3: implementation of efficiency gains interventions through business improvement initiatives.
This objective will be pursued through the following two components of the OD&T plan:

A business improvement and quality management (QM) programme aimed at improving operational
efficiency and organisational effectiveness; and

An organisational performance management system (OPMS) to institutionalise and formalise performance
management at political, organisational and community level.
The desired outcomes of these programmes are:

Business improvement processes conducted for all core City business and other key functional areas
impacting on customer satisfaction;

A decrease in the cost and increase in the income of targeted services;

Organisation-wide individual performance management; and

Citywide organisational performance management.
Objective 8ii - Reduce time to resolve complaints
The City has adopted a process in terms of which all service requests received from councillors and citizens
are to be recorded and actioned via the SAP-C3 notification process.
This single, integrated system is providing valuable management information, which will be used to better
understand service demand and the City‟s capacity to respond to such request throughout the city. The C3
notification process is therefore core to improving service delivery in Cape Town.
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Almost 100 000 service requests are received every month through the various communication channels
available to citizens, of which the call centre is the primary means of recording service requests.
Objective 8iii - Ensure a target percentage of complaints have been dealt with
The City‟s response to service requests is a key performance indicator of service delivery to citizens. In
addition to ensuring that each request is resolved, the time taken to achieve resolution is now also being
tracked in order to enhance service delivery.
Service Requests Status - as at Nov 2009
140 000
120 000
100 000
80 000
60 000
40 000
20 000
0
Resolved Service Requests
Open Service Requests
The graph above reflects the total number of service requests received by the City per month since January
2008, with the number of requests which have been resolved by November 2009 and those that still remain
open being reflected in orange and green respectively.
As the majority of these service requests relate to instances where municipal infrastructure has failed, the
notification process is a key input into the City‟s infrastructure maintenance management system.
The
frequency of failures, and the location thereof, allows maintenance engineers to implement remedial action in
order to ensure that service levels and condition of municipal infrastructure is sustained.
Geographic
information systems play a key part in providing a visualisation of service requests and infrastructure failure
patterns.
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The above spatial view of service requests enables the City to see the location and status of specific service
requests. Different municipal services such as water, electricity, billing, etc. are indicated by the associated
icon, and the colour of the flag indicates whether the service request has been resolved (green), not yet
attended to (Red,) or in progress (yellow).
KEY CITY FOCUS AREA 8B: M ANAGE KEY FINANCIAL AND GOVERNANCE AREAS SUCH AS INCOME CONTROL, CASH
FLOW, INDIGENT SUPPORT, ALTERNATIVE INCOME OPPORTUNITIES, ASSET AND RISK MANAGEMENT
Objective 8iii - Reduce the amount of money owed to the City
The City aims to reduce the amount of money it is owed by introducing revenue enhancements strategies and
processes to deal with debtors who are able to pay, but do not do so, while assisting those who cannot afford
to make such payments through affordable arrangement plans, indigent relief to the poor and child-headed
households, and rates rebates for the elderly and disabled persons.
A key challenge to achieving this particular objective is the fact that the economic recession and high Eskom
electricity tariffs are making it difficult for the City to reduce the amount of money owed by its citizens.
Programmes
The City aims to implement the following processes and programmes to reduce the amount of money it is
owed:

Increase debt management actions in terms of final demands, warning notices, restrictions/disconnections
and legal actions.

Setting of monthly targets to achieve a payment ratio of 95% and above.

Enhancement of SAP and Enterprise Resource Plan (ERP) to automate debt collection actions.

Provision of affordable arrangement plans to debtors struggling to pay their municipal accounts.
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
Continued engagement with National and Provincial Government departments to settle their debts, and
making the Western Cape Education Department liable for the outstanding debts of schools.


The provision, to the Water Services department, with lists of debtors who:
o
qualify as indigents; and
o
have large water accounts as a result of suspected water leaks or wastage of water.
Education of citizens - via the media, community meetings, etc. - about the restriction or disconnection of
water and electricity supplies due to non-adherence with warning letters and final demands. The basket of
benefits offered by the City to the poor, elderly and disabled persons will also be communicated, as well as
the affordable payment arrangement plans offered to those who do not qualify for the benefits, but are
struggling to pay their municipal accounts.
Measuring Performance
The City will measure the success of its debt management initiatives and strategies by:

Its ability to maintain a collection ratio of 95% and above;

Increasing the number of citizens on the indigent register from the previous year; and

Increasing the fixing of water leaks and the number of Water Management Device installations per month.
Objective 8iv - Create new assets for public benefit
Water and Sanitation
Existing water and sanitation infrastructure often experiences pressure during peak periods, while continued
population growth necessitates the provision of new infrastructure. The City‟s financial constraints are
compounded by the increased demand for new housing. Consequently, the City cannot maintain existing
infrastructure while also providing the necessary bulk infrastructure for the connection of new developments.
The existing infrastructure, particularly the sewer system, is deteriorating due to under-provision for essential
maintenance and replacement of ageing infrastructure. This problem has existed for a number of years. Over
the past year, a number of pipes have collapsed, and are in urgent need of extensive repair and, in many
instances, complete replacement.
In peak periods, the bulk water system in the northern areas of the city comes under immense pressure. The
augmentation scheme for this area, which involves the implementation of a new water treatment plant and bulk
reservoir, has been budgeted for, and is currently in its environmental impact assessment (EIA) phase.
While the City‟s Water Demand Management (WDM) system will reduce water consumption in view of the
possible impacts of climate change, population growth, and increasing consumption, many key bulk
infrastructure upgrades and development projects cannot be prioritised due to budget limitations. This has
potentially severe service implications for both potable water supply and wastewater treatment/sanitation
services in the future. Currently, therefore, the City faces the following water and sanitation service challenges:
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
Eradication of basic sanitation service backlogs, and expansion of basic services to meet the needs of the
growing population due to the continued influx of people into informal settlements.

Intensifying the WDM strategy, and achieving targeted or improved reduction rates.

Meeting the wastewater effluent standards, and reducing the impact of population growth on the water
quality of rivers and water bodies, including grey water runoff quality in informal settlements.

Timeous provision of infrastructure to meet development growth needs, and maintenance of infrastructure
to ensure continued operation.

Fulfilling increased financial requirements, financial sustainability of the service, cost recovery, debt
management, and affordability of the service.

High debt due to non-payment.

Establishing a new, more effective institutional arrangement, and increasing performance and efficiency.
Water Source Diversification Programme
To reduce overexposure to climate change, and the potential decrease in system yield due to environmental
reserve requirements, the City‟s strategy is to diversify water resources to lessen dependence on surface water
schemes.
Schemes to be pursued under this strategy include Table Mountain group aquifer, other
groundwater schemes, desalination, and reuse of treated wastewater effluent.
Backlog reduction programmes
The unplanned growth of informal settlements is adding to the City‟s service delivery backlogs, while
inadequate financial and human resources are impeding its ability to meet growing service delivery needs. To
reduce the growing dependency on currently available funds, key strategic objectives need to be identified to
avoid future service interruptions, and to ensure that the City meets minimum service requirements.
In
addition, special medium-term requirements as a result of the City‟s commitment to host the 2010 FIFA World
Cup™ have further increased the pressure on funding.
Objective 8v - Resolve audit findings as per follow up audits performed
The City aims to enhance good governance and regulatory reform by reducing the number of recurring internal
audit findings emanating from internal audits conducted.
Programmes
Communication sessions will be undertaken to inform management regarding the role of Internal Audit and
how the work performed by Internal Audit can be used to enhance the control environment and contribute to
the improvement of service delivery. A control self assessment program will be rolled out in the organisation to
enable management to monitor controls themselves, in preparation for Internal Audit reviews and to contribute
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to the general improvement of the City‟s control environment. A corrective action tracking tool will also be
implemented to enable advance reporting to management at the highest level in the organisation. The tool will
flag control deficiencies, corrective action required, due dates and responsible persons to ensure adequate
attention is given to resolving recurring audit findings within the agreed timelines.
Performance Measurement
Follow-up audits will be conducted to assess whether the necessary corrective action has been taken to
address previously reported control deficiencies and whether the corrective action is both adequate and
effective to mitigate the risks associated with the process. The City will measure the percentage audit findings
resolved by comparing the results of the follow-up audit with the number of audit findings initially reported to
management by Internal Audit.
Objective 8vi - An unqualified audit
The City endeavours to maintain sound financial management controls to ensure good governance and an
unqualified Audit Report. The key challenge in achieving this objective includes the City‟s onerous compliance
requirements with rigorous accounting and disclosure standards in an ever-changing environment. As a result,
the City is required to constantly engage with the Accounting Standard Board and National Treasury regarding
suggested changes to the accounting standards, as well as directives issued.
The City has allocated adequate training and bursary budget resources for staff to be trained and to attend
relevant subject workshops for skills enrichment in this area. Forums and discussions are regularly held to
exchange ideas on interpretation of new issues and how to best implement them.
Measuring Performance
The City will measure the achievement of a high standard of financial management by receiving an unqualified
external audit report and the process of internal audit assurance.
Objective 8vii - Maintain the City’s credit rating
The City of Cape Town endeavours to maintain its current long-term debt rating of Aa2.za (Investment grade,
high grade) and its short term debt rating of P-1 (Highest quality). The primary challenge facing the City in this
regard is the effect of the recessionary environment on its debtors‟ collection ratios, which are required to
ensure a sustainable level of long-term borrowings to finance capital programmes.
To overcome this challenge, the City has introduced a multi-disciplinary debt-management team and allocated
budget for the installation of water management systems and pre-paid electricity meters to stem the increase in
debt levels. Investments are optimised by making use of external asset managers and applying strict payment
management systems.
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Measuring Performance
The City will measure its success in terms of the credit rating report issued by the external credit rating agency.
KEY CITY FOCUS AREA 8C: ESTABLISH EFFECTIVE COMMUNITY ENGAGEMENT CHANNELS
Objective 8viii - Improved customer satisfaction
The City has undertaken the following initiatives with a view to improving service delivery to residents:
Customer Satisfaction Survey
In addition to providing services to the residents of Cape Town, the City is also involved in long-term planning
for residential, commercial and industrial growth needs, while protecting the environmental, cultural and
heritage elements that make Cape Town a unique and internationally recognised tourist attraction. As such, the
City‟s long term objectives include offering quality and affordable services to all who live in Cape Town,
transact here, or visit as tourists. It also aims to be known for its efficiency, effectiveness and good
governance.
To give effect to these objectives, the City must identify and confirm resident‟s needs as well as measure and
improve satisfaction levels. In order to evaluate the current level of services provided, to understand future
needs of residents and business, and to inform the developmental planning agenda for Cape Town, the annual
resident‟s perception / satisfaction survey has become a vital piece of strategic information.
2009 saw the City of Cape Town, in conjunction with research agency TNS Research Surveys, complete the
second annual survey of 2 009 residents and 500 businesses in Cape Town. The survey included an
assessment of perceptions of, and satisfaction with:

the City of Cape Town generally;

basic services (water, sanitation, electricity, waste collection, roads and streetlights);

community services (fire and ambulance services, clinics, parks, public toilets, halls, traffic licensing, social
housing, etc.);

soft services, especially support to business (zoning, plans approval, events, etc.);

communication and customer relations (City News, website, pay offices, call centre, etc.); and

public safety and by-law enforcement.
While overall satisfaction with service delivery has risen since the last survey in 2007/2008, the districts of
Khayelitsha and Klipfontein showed declines in scores. Results show that the Northern and Tygerberg suburbs
are the most satisfied with the service delivery by the City.
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The provision of essential services remains a relative strength, particularly in the areas of refuse removal,
water, and sanitation services. The survey will be repeated in 2010 to assess any changes in service delivery
perceptions.
Water and Sanitation Customer Perception Survey
A Water Services Customer Perception Survey was conducted in 2008/09 to measure satisfaction and assess
areas of improvement, and to serve as an input to the ISO 9001:2008 certification process. The survey
revealed that 82% of businesses are satisfied with the overall performance of the City of Cape Town in
providing water and sanitation services.
77% of formal residential users are satisfied with the overall performance of the City of Cape Town in providing
water and sanitation services, but informal consumers are dissatisfied relative to business and formal
consumers - with 61% expressing some degree of dissatisfaction with the provision of basic water and
sanitation services. The Water Services strategic goal for customer satisfaction is 80%, which was exceeded
for business users, but will require intervention to deliver the necessary improvements for residential, formal
and informal customers in the coming year.
Water service level profile
The City currently supplies a total of 642 456 formally registered customers with a full level of service.
This customer base is broken down as follows:
CUSTOMER TYPE
TOTAL
Commercial
12 379
Government
221
Industrial
4 099
Miscellaneous
5 554
Schools – sports fields
1 440
Domestic cluster
6 755
Domestic single residential
602 681
Departmental cluster
2 903
Municipal water
6 424
TOTAL
642 456
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Governance Framework and Functioning
This section provides a framework of the institutional structures and governance through which the City
implements its strategies with the appropriate resources.
The governance structure
COUNCIL
Executive Mayor
Schedule 1
Section 79
Portfolio Committee
Section 79 Committee
Executive Mayoral Committee
Disciplinary Committee
•SPELUM (Spatial Planning, Environment
and Land Use Management Committee)
•SCOPA
SPEAKER
•Rules
•Homeless Agency
Sub Councils
•Community Services
•Corporate Services and Human Resources
•Economic Development and Tourism
•Finance
•Health
• Housing
Section 80 Committees
* Budget
* Energy
•Safety and Security
•Service Delivery Integration
•Social Development
Ward Participatory
Mechanism
Section 62
* Planning & General Appeals
MFMA Section 166
* Audit Committee
•Strategy and Planning
•Transport, Roads and Stormwater
• Utility Services
Ad hoc committees, working groups and
task teams
* Delegations Task Team
SAPS Act
• Civilian Oversight Committee
COUNCIL
Executive Mayor
Executive Mayoral Committee
Section 80 Committees
• Budget
• Energy
The functional area of the Committee includes but is not limited to non fossil fuel generated energy sources,
Renewable Energy and Renewable Fuels, Climate Change and Global Warming and Reduction in carbon
emissions and pollution within the City. The Committee is to drive the effective integration and delivery on all
energy matters in the City.
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SAPS Act
Civilian Oversight Committee
Section 79 Portfolio Committees
The terms of reference of all Section 79 Portfolio Committees are policy formulation and implementation
monitoring within their specific functional areas.
Portfolio Committees are chaired by Councillors appointed by full Council
• Utility Services
• Corporate Services and Human Resources
• Finance
• Safety and Security
• Community Services
• Health
• Housing
• Economic Development and Tourism
• Planning and Environment
• Transport, Roads and Stormwater
Section 79 Committees
• SPELUM (Spatial Planning, Environment and Land Use, Management Committee)
The terms of reference of this Committee relate to Spatial Planning, Town Planning, environmental and other
related matters.
• SCOPA (Standing Committee on Public Accounts) is the mechanism through which the Council exercises
oversight over the expenditure of public money.
SCOPA enables the Council, in respect of financial
management, to fulfill its constitutional obligation to scrutinize and oversee executive action by holding the
accounting officer and councilors accountable for their spending of ratepayer‟s money and their stewardship
over public assets in order to ensure regular, economical, efficient and effective local government spending.
SCOPA conducts its affairs in a non-party political manner so as to maximize the effectiveness of its work.
SCOPA ensures that the City‟s oversight report as envisaged in S129 of the MFMA is prepared for adoption by
Council and investigates and advises Council in respect of unauthorized, irregular or fruitless and wasteful
expenditure in terms of S32 (2) of the MFMA.
• Rules
The terms of reference of this Committee relates to rules of procedure of Council and its Committees.
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• Homeless Agency
The Homeless Agency Committee will be the political oversight body that will ensure that both new and old
issues dealing with street people (street children, adults and street youth) are adequately addressed and that
previous and future programmes undertaken by the City in this regard are properly implemented and stay on
track.
MFMA section 166
• Audit Committee
Every Municipality is obliged to establish an independent Audit Committee in terms of Section 166 of the
Municipal Finance Management Act No.56 of 2003 (MFMA) as amended, to assist the Council discharging its
duties relating to the safeguarding of assets, the operation of adequate systems, control processes and the
preparation of accurate financial reporting and statements in compliance with all applicable legal requirements
and prescribed accounting standards.
The Audit Committee does not have the executive responsibility and act primarily in an oversight capacity to
Management and Council. The Audit Committee does not perform any management functions or assume any
management responsibilities. It provides a forum for discussing business risk and control issues for developing
relevant recommendations for consideration by the City Manager/MayCo/Council for its approval or final
decision. The membership, resources, responsibilities and authorities (composition, functions and operation) of
the Audit Committee to perform its role effectively, is stipulated in the Audit Committee terms of reference. The
Committee is constituted in terms of the requirements of sound corporate governance practices and operates
within that framework.
Schedule 1

Disiciplinary Committee
To investigate and make a finding on any alleged breach of the Code and to make appropriate
recommendations to Council.To investigate and make a finding on non-attendance of meetings and to
impose a fine as determined by the standing rules and orders of Council.
SPEAKER

Ward participatory mechanisms
The System of Delegations does not contain any information in this regard.
Section 72 of the Structures Act indicates that the object of a ward Committee is to enhance participatory
democracy in Local Government.

Subcouncils
A metropolitan subcouncil has such duties and powers as the metro council may delegate to it in terms of
section 32 and may make recommendations to the metro council on any matter affecting its area.
A metropolitan subcouncil may advise the metro council on what duties and powers should be delegated to it.
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The terms of reference of Subcouncils are as follows:
(a)
to make recommendations to Council on any matter affecting its area of jurisdiction; and
(b)
to exercise any power, duty or function delegated by Council
(c)
to exercise any power, duty or function conferred upon it in terms of the
Subcouncil By-law
Section 62

Planning & General Appeals
Office of the Speaker
The Office of the Speaker‟s responsibilities range from coordination of all processes flowing from sub-council
delegations, disciplinary investigations in terms of the Code of Conduct of Councillors and the Code of Conduct
for Municipal Employees, rules of meetings of political structures, as well as the Planning and General Appeals
Committee.
The City‟s Political Structures are linked as follows:
Mayoral Committee
The Mayoral Committee exercises the powers, functions and duties designated by the municipal council.
These powers, functions and duties are performed and exercised by the Executive Mayor together with the
members of the committee.
Cllr D Plato - Executive Mayor
Ald I Neilson - Executive Deputy Mayor and Mayco member for Finance
Ald C Justus : Utility Services
Cllr M Niewoudt : Planning and Environment
Cllr G Pascoe Social Services
Ald F Purchase : Economic Development and Tourism
Cllr G Ras : Community Services
Cllr S Sims Housing
Cllr JP Smith : Safety and Security
Cllr E Thompson : Transport, Roads & Stormwater
Ald B Walker : Corporate Services and Human Resources
Cllr D Ximbi : Health
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Portfolio Committees and Chairpersons
Cllr J Burger : Utility Services
Cllr G Cavanagh : Community Services
Cllr B Herron : Social Development
Cllr P Hill : Economic Development & Tourism
Cllr I Iversen : Finance
Cllr B Lee : Transport, Roads and Stormwater
Cllr S Pringle : Corporate Services and Human Resources
Ald N Ross : Housing
Cllr JP Smith : Safety and Security
Cllr J Vos : Health
Ald B Watkyns : Planning and Environment
Sub-Councils and Chairpersons
SUB-COUNCIL
CHAIRPERSON
1. Blaauwberg
Cllr H. Brenner
2. Bergdal
Cllr G. Twigg
3. De Grendel
Cllr. J. Vos
4. Tygerberg
Cllr F. Kearns
5. Central
Cllr T. Thompson
6. Bellville
Cllr B. Cortje-Alcock
7. Koeberg
Ald. C. Ipser
8. Helderberg
Cllr. A. Fourie
9. Nxele Makana
Cllr. P. Kotyi
10. Charlotte Maxeke
Cllr. S. Pringle
11. Looksmart Solwandle Ngudle
Cllr. S. Rossouw
12. Mitchells Plain
Cllr. N. Bent
13. David Mthetho Ntlanganiso
Cllr. M. Matiwane
14. Miranda Ngculu
Cllr. S. Vuba
15. Pinelands
Ald. B. Watkyns
16. Good Hope
Cllr. T Amira
17. Athlone and District
Cllr. C. Clayton
18. Rondevlei
Cllr. G. March
19. South Peninsula
Cllr. D. Qually
20. Protea
Cllr. O. Kinahan
21. Oostenberg
Cllr. W. Brady
22. Lizo Nkonki
Cllr. E. Sonnenberg
23. Adelaide Tambo
Cllr. T. Trout
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Executive Management Team (EMT)
The EMT leads the City‟s drive to achieve its strategic objectives, as outlined in the IDP adopted each year.
The macro-organisational design of the administration is indicated below:
Achmat Ebrahim :
City Manager
Zulpha Abrams :
Chief Audit Executive
David Beretti :
ED:- Corporate Services
Richard Bosman :
ED:- Safety and Security
Dr Ivan Bromfield :
ED:- Health
Mike Richardson :
Chief Financial Officer
Mansoor Mohamed :
ED:- Economic, Social Development and Tourism
Dr Bulumko V Msengana : ED:- Utility Services
Lokiwe Mtwazi :
ED:- Community Development
Mike Marsden :
ED:- Transport, Roads and Major Projects
Hans Smit :
ED:- Housing
Piet van Zyl :
ED:- Strategy and Planning
EMT
City Manager
Executive
Support
Internal Audit
Forensics
Governance
and Interface
Ombudsman
Community
Development
Corporate
Services
Economic
Development and
Tourism
Finance
Health
Housing
Safety and
Security
Transport Roads and
Major Projects
Strategy and
Planning
Utility Services
Major Projecta
Major Projects
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MEDIUM-TERM REVENUE AND EXPENDITURE FRAMEWORK (MTREF)
The City of Cape Town‟s Medium-Term Revenue and Expenditure Framework is reviewed annually to
determine the most affordable level at which the City will be able to operate optimally, and in a sustainable
manner.
Budget Steering Committee
The Municipal Budget and Reporting Regulations, gazetted on 17 April 2009, Chapter 2 (Budgets and Budget
related matters of Municipalities Part1: General Provisions) provides the following guidelines and provisions:
(1)
The mayor of a municipality must establish a budget steering committee to provide technical
assistance to the mayor in discharging the responsibilities set out in section 53 of the Act.
(2)
The Steering committee must consist of at least the following persons:
a) the councillor responsible for financial matters;
b) the municipal manager;
c) the chief financial officer;
d) the senior managers responsible for at least the three largest votes in the municipality;
e) the manager responsible for budgeting;
f)
the manager responsible for planning; and
g) any technical experts on infrastructure
In addition to the above members, the City of Cape Town has added a number of other political and
administrative representatives from across the organisation to strengthen the link between the eight strategic
focus areas and the objectives of the budget. The principles applied to the MTREF and presented to the
Budget Steering Committee inform a number of financial scenarios in the short- and medium term. These
scenarios are based on revenue and expenditure parameters applied to the current three-year financial plan
and are utilised to calculate the affordability and sustainability of the City‟s Operating Budget.
Background and challenges
The current MTREF model, which enables economic forecasts and informs the medium-term fiscal framework,
was compiled under challenging economic conditions. This translated into lower projected revenue for 2010/11
due to lower collection ratios and investment interest, and higher projected expenditure figures for the period
as a result of higher than CPI salary increases, interest on external loans and interest and depreciation costs
due to the accelerated capital budget spend.
This accelerated capital budget spend also further drained the current Domestic Medium Term Note (DMTN)
proceeds.
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Affordability is a primary concern when determining the multi-year level of External Financing Fund (EFF)funded expenditure. The EFF-funded capital budget was reprioritised and the EFF-quanta were set at R1bn for
2010/11 and the following two years.
The budgetary constraints outlined above meant that the City of Cape Town has had to apply a combination of
cost saving interventions and higher than CPI revenue increases to ensure an affordable, credible and
sustainable budget over the 2010/11 MTREF. In an effort to manage costs, general expenses were
reprioritised, staff costs (vacancies) were reduced, and external grants were limited.
Financial modelling
The outcomes of the MTREF relate to the Strategic Focus Areas of the draft IDP at the time, as well as core
economic, financial and technical data obtained at local and national level. The 2010/11 MTREF modelling
included the following assumptions, which were accepted by the Steering Committee:
• Inflation-linked revenue parameters - the the extent that they affect and support Council‟s operational
activities.
• A 100% capital expenditure implementation.
• Credible collection rates - based on collection achievements to date and incorporating improved success
anticipated on selected revenue items.
• Higher than nationally projected inflation provisions - for repairs and maintenance to attain nationally
benchmarked levels on this expenditure item, and ensure the preservation of the City‟s infrastructure.
What is the Medium Term Revenue and Expenditure Framework (MTREF)?
The Medium Term Revenue and Expenditure Framework (MTREF) is a framework in
which the budget is prepared and compiled. It sets out the economic context and
assumptions that inform the compilation of the City‟s Budget for the next three years. It is
reviewed on an annual basis to ensure that the budget is affordable and sustainable over
at least the medium term.
Consumer Price Index (CPI) – Inflation Outlook
The CPI projection for the purpose of the MTREF is an average of CPI forecasts of various financial institutions
and the Bureau of Economic Research (BER).
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Figure 1: CPI projections used in the MTREF.
The CPI increase for 2009/10 budget was set at 8%, which was 2% higher then the inflation target range. This
was to compensate for the low CPI projection in the previous year. CPI projection for the 2010 MTREF is 5.6%
for 2010/11 and 5.8% for the following two years. Both of these figures fall within the boundaries of the
government‟s inflation target range of 3% to 6%, but below the National Treasury‟s forecasted CPI of 5.7%,
6.2% and 5.9% for 2010/11, 2011/12 and 2012/13 respectively.
EXPENDITURE FRAMEWORK
Salaries, wages and related staff costs
Salary increases for the next three years were modelled as follows:
BASE
BUDGET
2010/11
2011/12
2012/13
%
%
%
2009/10
%
Salary increases
13.00
8.40
7.78
7.78
Add: Increments
2.00
2.00
2.00
2.00
The Salary and Wage Collective Agreement by the South African Local Government Bargaining Council
(SALGBC) provided the general salary adjustment guidelines for the period 2009/10 to 2011/2012. In 2009/10
a salary increase of 13% was affected as per the regulation. The average salary increase over the MTREF was
calculated using the methodology as prescribed in the regulation.
The salary increase for 2010/11 is based on the average CPI for the period 1 February 2009 to 31 January
2010. A formula of projected figures plus 1.5% was used for the months where CPI figures were not yet
available. The average percentage increase for 2011/12 was calculated on the same basis except that 2% has
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been added to the average projected CPI figures. In the absence of a formal agreement for 2012/13, the same
methodology was applied.
Figure 2: Correlation between CPI and MTREF salary increases.
14.0%
12.0%
10.0%
Salaries increases
8.0%
CPI
6.0%
4.0%
2.0%
0.0%
Base Budget
2009/10
2010/11
2011/12
2012/13
As can be seen in Figure 2, salary increases over the next three years are consistently higher than projected
CPI. The increase in the salary budget was a contributing factor to the cost pressures experienced on the
operating budget. To alleviate part of the strain the staff budget was reduced by R113m in respect of vacancy
cuts.
General Expenses
Provision for General Expenses was increased in relation to the projected CPI increases over the period of the
MTREF. However, as part of the initiative to attain an affordable and sustainable budget, general expenses
were reduced by R180m. In addition grants and subsidies to external bodies were reduced by R15m.
The National Treasury Municipal Budget Circular 51 for the 2010/2011 MTREF stated, amongst other, that
municipalities must “secure the health of their asset base (especially the municipality‟s revenue generating
assets) by increasing spending on repairs and maintenance”. The City considers this an important budget
requirement and has consistently increased its investment in repairs and maintenance above CPI over the last
three financial years. To further address backlogs in repairs and maintenance the funding for Repairs and
Maintenance was calculated at CPI + 3% over the 2010/11 MTREF.
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REVENUE FRAMEWORK
Service growth
The unstable economic climate limited the City‟s service growth. Therefore, a conservative 1% increase was
projected for rates service growth in the 2010/11 financial year. Electricity service growth remained at 0% for
the 2010/11 MTREF as result of the implementation of energy saving plans. Lower consumption has also led to
Water and Sewerage services projecting lower service growth of 0.5% for the 2010/11 financial year. Further
growth of 2.9% in Water and Sewerage has been added due to changes in the sliding scales of tariffs, and the
projected impact of revenue raising interventions including, amongst other, the cleaning of data,
implementation of meter replacement programs, and the elimination of faulty meters. Refuse service growth
was modelled at 2% for the period based on a combination of population and city-wide user-base growth.
Revenue growth parameters: Rates and trading services
To ensure an effective, efficient and well-run city, higher tariff increases are inevitable. The individual tariff
increase proposals will be considered against the backdrop of the overall „package of tariffs‟ approach adopted
in compiling and evaluating the affordability of the tariffs and charges that make up the total municipal account.
30.00%
25.00%
20.00%
Rates
Refuse - Charges
15.00%
Sewerage / Sanitation
Water
Electricity Sales
10.00%
CPI
5.00%
0.00%
2010/11
2011/12
2012/13
2013/14
2014/15
Figure 3: Revenue parameters projected for the 2010/11 MTREF period.
The current economic backdrop has impacted on the revenue parameter increases required to ensure an
affordable, balanced and sustainable budget over the 2010/11 MTREF. After considering various potential
scenario outcomes the following revenue parameter increases were factored into the MTREF model for
2010/11:
Rates
The rates revenue increase was modelled at 7.73%. This is above CPI, but is required in order to achieve an
affordable, balanced rates budget without impeding service delivery.
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Electricity
The initial Electricity revenue parameter was based on the draft Eskom Multi Year Price Determination (MYPD)
that proposed an annual 35% increase over the period 2010/2011 – 2012/2013. To ensure affordability to the
CoCT customers the City‟s parameter increase were set at 29%, 6% lower than the Eskom proposed increase.
As a consequence the utility will not be able to fund all infrastructure needs in 2010/2011and a number of
projects will therefore be postponed to future years.
Subsequent to the approval of the MTREF parameters by Mayco, the Electricity service‟s revenue estimations
were amended based on the NERSA statement on Eskom‟s proposed tariff increases; i.e. 24.8%, 25.1% and
25.9% for the financial years respectively. The City subsequently amended its revenue parameter to 24.6% for
2010/2011.
Refuse Removal
This revenue parameter increase was modelled at 18%. The increase takes into account the impact of the
higher disposal tariff and the need to continue offering adequate service delivery.
Water and Sanitation
The revenue parameter adjustment for both water and sanitation was modelled at 10% for 2010/11. While this
revenue parameter increase is higher than CPI, it afford Water and Sanitation only limited scope to implement
new initiatives.
It is estimated that the above revenue parameter increases will generate the following revenue:
REVENUE
BASE
PROPOSED
Proposed
2010/11
CATEGORY
BUDGET
ORGANIC
REVENUE
Budgeted
GROWTH
PARAMETE
Revenue
PARAMETERS
R increases
R’000
4 189 836
1.00%
7.73%
4 558 847
531 257
2.00%
18.00%
639 421
Electricity
5 615 676
0.00%
24.6%
6 997 133
Water
1 476 675
0.50%
10%
1 648 843
7
806 308
0.50%
10%
905 344
8
2009/10
R’000
Rates
Refuse
Sanitation
7
8
Intervention of 0.6% and 2.3% included and 2010/11 Budget reduced by R31m due to budget realignment taking into consideration the economic climate
Intervention of 0.6% and 2.3% included and 2010/11 Budget reduced by R12m due to budget realignment taking into consideration the economic climate
146
Collection rate
In accordance with relevant legislation and national directives, the City‟s projected revenue recovery rates are
based on realistic and sustainable trends. These revenue collection ratios are outlined in the table below.
SERVICE
BASE
BUDGET
2010/11
2011/12
2012/13
%
%
%
2009/10
%
Property Rates
97.85%
95.00%
95.00%
95.00%
Electricity
95.95%
95.00%
95.00%
95.00%
Water
89.68%
89.50%
90.00%
90.50%
Sewerage
88.24%
90.50%
90.50%
90.50%
Refuse
90.72%
92.00%
92.00%
92.00%
Housing
46.82%
42.00%
44.60%
47.00%
The total collection rate for 2010/11 is projected at an average of 92.4% (excluding housing, which has an
average collection rate of 42%). This figure is based on a combination of actual collection rates achieved to
date, and the estimated outcomes for the current financial period. The collection ratio for Property Rates and
Electricity declined by 2.85% and 1% respectively over the past financial year, which can be attributed to the
inability of consumers to pay municipal accounts as a result of the economic downturn. This meant that the
City‟s provision for non-recovery (i.e. provision for bad debts) had to increase, which contributed to the strain
on the City‟s budget. Special provision is made to cater for the effect of a programme for the poor.
General fuel levy
The sharing of the general fuel levy was introduced at metros from the 2009/2010 financial year via the
Taxation Laws Amendment Act. The Act proposes that 23% of the revenue raised from the general fuel levy be
allocated to metros.
The 2010/2011 financial year will be the second year of the phasing-in of the sharing of the general fuel levy
with metropolitan municipalities where allocations will be based on a 50% share of the 2009/2010 RSC levy
replacement grant and 50% of its share of overall fuel sales in metros based on the latest available information
from the South African Petroleum Industry Association (SAPIA). For the remaining MTREF period:
2011/2012 – allocation based on 25% share of the 2009/2010 RSC levy replacement grant and 75% of its
share of overall fuel sales in metros based on the latest available information.
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The 2012/2013 financial year will see the sharing of general fuel levy to be based solely on total fuel sales
within the jurisdiction of a metro, based on the latest available fuel sales information.
The respective fuel levy amounts allocation per metro is published annually via a Notice in the Government
gazette.
In the absence of the gazetted provision (latest fuel sales not yet available); at the time of preparing the City‟s
budget drafts, provision for the MTREF period was made based on the indicative letter from National Treasury
in March 2009:
2010/2011 – R1.517 billion
2011/2012 – R1.619 billion
2012/2013 – R1.760 billion (Forecasted based on average year on year growth)
National Grants
The Constitution provides that each sphere of government is entitled to an equitable share of revenue raised
nationally to enable it to provide basic services and perform the functions allocated to it. The equitable division
of revenue takes into account the functions assigned to each sphere of government and its capacity to pay for
these functions through its own receipts and revenues.
The local government equitable share allocations supplement municipal own revenue for the provision of the
necessary basic level of services to each poor household within their jurisdiction. The equitable share per
municipality is calculated using the following equation:
Grant = BS + D + I – R ± C
Where
BS is the basic services component
D is the development component
I is the institutional support component
R is the revenue raising capacity correction
C is a correction and stabilisation factor
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The application of the equation for the City of Cape Town is currently being assessed to ensure that the
allocation of equitable share to the City is fair and correct. The annual Division of Revenue Act (DORA)
publishes the equitable share allocations. The following indicative allocations, as published in the 2010/11
Division of Revenue Bill, were modelled:
2010/11 – R862 million
2011/12 – R998 million
2012/13 – R1 115 million (forecasted based on year-on-year average growth)
Interest rates
The interest rate projection over the period of the 2010/11 MTREF placed further pressure on the City‟s
budget. The graph below shows the trend for the projected interest rates over the MTREF compared to CPI.
Figure 4: Projected interest rates compared to CPI
As can be seen, CPI over the MTREF is below the interest rate, especially in respect of interest on short-term
debt. The interest rate on short term borrowing grew from 10.5% to 12.08% over the last year, increasing
interest expenditure by 1.58%. It is projected to increase by an average of 0.32% over the MTREF as it is
assumed that the average prime rate will stabilise over the same period. On the other hand interest on
investment has declined by 3.43% since last year, reducing interest income from 10.7% to 7.27%. This is
expected to increase by an average of 0.32% over the MTREF.
Depreciation
Depreciation on new capital expenditure is calculated at a varying rate over a period of nine to 20 years,
depending on the nature of the asset. Actual depreciation was modelled on existing assets. An annual capital
expenditure implementation rate of 100% was factored into the MTREF model.
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Capital expenditure (External Financing Fund component)
An acceleration in the 2009/10 Capital Budget spending, especially in light of construction on the Cape Town
stadium and other FIFA World Cup infrastructure, resulted in increased depreciation and interest costs on the
City‟s 2009/10 Operating Budget. This accelerated capital investment rate further impacted on the projected
cash flow levels.
The City‟s medium-term borrowing programme was based on the MTREF-adopted capital investment
programme over the medium term. The rapid rate of asset implementation achieved over the past two financial
years necessitated a review of the current (3-year) programme. One of the options pursued to ensure financial
sustainability over the short- to medium term was to re-phase EFF-funded capital expenditure to reduce the
cash flow requirements from internal (EFF-funded) resources, thereby bringing internal charges over the
MTREF period to within sustainable and affordable levels.
The City‟s Domestic Medium Term Note (DMTN) Program envisaged a R7 billion bond issue over a fiveyear period. The first issue occurred in June 2008 (R1bn), at which time the City‟s 2009/2010 three-year
Capital Budget (EFF-spend) amounted to R7 billion. When the second issue took place in June 2009
(R1.2bn), the cash flow requirements outstripped the DMTN program and the current Capital Budget had to
be curtailed.
The 2010/2011 budget process will therefore give preference to projects that have been re-phased from the
2009/2010 financial year. The draft 2010/2011 three-year Capital Budget is based on the cash availability in
accordance with the DMTN program.
Capital investment: Consequential operating impact
No provision was made for additional or consequential operational costs flowing from the City‟s capital
investment programme. It is assumed that these will be catered for via efficiency gains and the prioritisation of
existing operational resources
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Major parameters
The following table summarises the major parameters applied to the MTREF modelling, which should inform
the detailed compilation of the City‟s budgets for the next three years:
2010/2011
2011/2012
2012/2013
%
%
%
5.60
5.80
5.80
Rates
95.00
95.00
95.00
Electricity
95.00
95.00
95.00
Water
89.50
90.00
90.50
Sanitation
90.50
90.50
90.50
Refuse Removal
92.00
92.00
92.00
Refuse Disposal
92.00
92.00
92.00
Housing
42.00
44.60
47.00
Rates
7.73
13.65
5.80
Electricity
24.60
23.80
26.10
Water
10.00
11.58
10.96
Sanitation
10.00
11.58
10.96
Refuse Removal
18.00
13.30
10.80
Refuse Disposal
38.50
19.80
10.50
CPI
COLLECTION RATES:
REVENUE PARAMETERS
(excluding organic
growth):
REVENUE PARAMETERS
(including organic
growth):
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Rates
8.73
14.65
6.80
Electricity
24.60
23.80
26.10
Water
13.40
12.48
12.16
Sanitation
13.40
12.48
12.16
Refuse Removal
20.00
15.30
12.80
Refuse Disposal
40.50
21.80
12.50
8.40
7.78
7.78
2.00
2.00
2.00
General Expenses
5.60
5.80
5.80
Repairs & Maintenance
8.60
8.80
8.80
Interest paid
12.08
12.64
12.72
Interest on investment
7.27
8.00
8.93
R1bn
R1bn
R1bn
R862m
R998m
R1 115m
R1.517bn
R1.619bn
R1.760bn
EXPENDITURE
PARAMETERS:
Salary increase
Salary increase (SALGA
Agreement)
Increment provision
Interest rates
OTHER:
Capital (EFF component)
Expenditure
Equitable Share Allocation
Fuel Levy
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153
154
List of Statutory Plans Annexed to the IDP
IDP & Budget Time-schedule
Annexure A
Spatial Development Framework for the City
Annexure B
State of the City Report
Annexure C
Economic development Plan
Annexure D

Development priorities and objectives for the elected term 26 (c)

Local economic development aims 26 (c)

Internal transformation needs 26 (c)

Development strategies which are aligned with national or provincial sectoral plans 26 (d)

Local economic development strategy

Business Investment strategy of Council (Reg 2(1)(b)

Organizational Development and Transformation Plan
Annexure E
Health Plans
Air Quality Management Plan

HIV/AIDS/TB Plan for the City

District Health Plan
Annexure F1
Annexure F2
Annelure F3
Integrated Transport Plan 2006 – 2011
Annexure G
Disaster Management Plan 26 (g) – Revision 2 – May 2008
Annexure H
Integrated Waste Management (IWM) Plan
Annexure J
Water Services Development Plan for City of Cape Town 2009.10 – 2013/14
Annexure K
Summary of Engagement Interactions with, Public, Neighbouring Municipalities, Integovermental
Annexure L
Annual Report
Annexure M
Corporate Scorecard and definitions
Annexure N
Integrated Metropolitan Enviromental Policy
Annexure O
Sustainability Report
Annexure
P
STRATEGIC PLANS
City Development Strategy (Not listed as statutory but is of strategic nature)
Annexure Q
Urban Renewal Plan (Not listed as statutory but is of strategic nature)
Annexure R
Municipal Police Plan Municipal :Safety Plan (Not listed as statutory but is of strategic nature)
Annexure S
155
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